Inspirato (ISPO) AI Stock Analysis

• Market Cap: $44.29M
• Dividend Yield: N/A
• Average Volume (3M): 45.23K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.53
• Revenue Growth: -16.42%
• EPS Growth: 88.30%
• Country: US
• Employees: 470
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Leisure
• EPS (TTM): 0.12
• Shares Outstanding: 12,440,577
• 10 Day Avg. Volume: 49,096
• 30 Day Avg. Volume: 45,227
• PEG Ratio: -0.11
• Price to Book (P/B): -0.30
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.03
• Enterprise Value/Market Cap: 5.16
• Enterprise Value/Revenue: 0.19
• Enterprise Value/Gross Profit: 1.96
• Enterprise Value/Ebitda: 1.56
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 48 Neutral
• Price Target: $3.50 ▼(-1.69%Downside)

The overall stock score of 48 reflects Inspirato's significant financial challenges, particularly high leverage and negative cash flows. Technical analysis provides mixed signals, while valuation metrics are poor. The strategic merger with Buyerlink and operational improvements offer some positive outlook.

Inspirato Business Overview & Revenue Model

Company Description

Inspirato Incorporated operates as a subscription-based luxury travel company. The company provides affluent travelers access to a portfolio of curated luxury vacation options. As of December 31, 2021, it had approximately 425 private luxury vacation homes available exclusively to subscribers; and accommodations at approximately 420 luxury hotel and resort partners worldwide. The company was founded in 2010 and is headquartered in Denver, Colorado.

How the Company Makes Money

Inspirato makes money primarily through its subscription-based model, where members pay a monthly or annual fee to access the company's portfolio of luxury vacation properties and travel services. In addition to membership fees, Inspirato generates revenue from booking fees for reservations made through its platform. The company may also earn income from ancillary services such as travel planning and concierge services, which enhance the overall travel experience for its members. Inspirato's partnerships with property owners, luxury resorts, and other travel service providers play a crucial role in expanding its offerings and maintaining a diverse inventory of high-quality accommodations, thus contributing to its revenue generation.

Inspirato Financial Statement Overview

Summary

Inspirato is facing significant financial challenges, including declining revenue and negative equity. Despite improved margins and operational efficiencies, the company remains unprofitable and struggles with cash flow, indicating financial instability.

Income Statement

Inspirato has faced significant challenges in revenue growth, with total revenue declining by approximately 15% from 2023 to 2024. Gross Profit Margin improved to 42.6% in 2024 compared to 16.5% in 2023, demonstrating enhanced operational efficiency. However, the company remains unprofitable with a negative Net Profit Margin of -1.9% in 2024, though this is an improvement from -15.7% in 2023. The EBIT Margin is positive at 7.9% in 2024, a considerable recovery from -18.8% in 2023, showing potential for future profitability.

Balance Sheet

The company's financial position is concerning, marked by negative Stockholders' Equity, which deteriorated further to -$129.9 million in 2024 from -$30.2 million in 2023. The Debt-to-Equity Ratio is not meaningful due to negative equity, indicating financial instability. Total Assets decreased by approximately 17% from 2023 to 2024, reflecting asset shrinkage. Despite improvements in certain areas, the overall financial leverage remains high, posing a significant risk.

Cash Flow

Inspirato's cash flow position is weak, with negative Free Cash Flow of -$21.2 million in 2024, though this is an improvement from -$63.5 million in 2023. Operating Cash Flow is negative at -$15.8 million in 2024 but shows a positive trajectory compared to -$51.4 million in 2023. The company is struggling to generate sufficient cash to cover its operational expenses, indicating liquidity challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	279.86M	329.10M	345.53M	234.75M	165.59M
Gross Profit	119.22M	54.31M	116.24M	82.00M	64.99M
EBITDA	60.54M	6.17M	43.54M	-26.37M	4.42M
Net Income	-5.39M	-51.76M	-51.08M	-13.79M	-868.00K
Balance Sheet
Total Assets	273.88M	330.73M	430.37M	145.77M	120.61M
Cash, Cash Equivalents and Short-Term Investments	21.84M	36.57M	80.28M	80.23M	62.77M
Total Debt	206.06M	282.68M	282.46M	13.27M	23.55M
Total Liabilities	403.74M	485.43M	505.36M	335.46M	283.81M
Stockholders Equity	-129.85M	-30.24M	11.73M	-189.69M	-163.21M
Cash Flow
Free Cash Flow	-21.24M	-63.52M	-59.96M	24.74M	7.69M
Operating Cash Flow	-15.77M	-51.39M	-45.69M	28.75M	11.58M
Investing Cash Flow	-6.01M	-12.12M	-14.27M	-4.02M	-3.89M
Financing Cash Flow	14.52M	23.84M	58.95M	-8.79M	16.55M

Inspirato Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ISPO, the sentiment is Negative. The current price of 3.56 is below the 20-day moving average (MA) of 3.87, below the 50-day MA of 3.64, and below the 200-day MA of 4.01, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 44.24 is Neutral, neither overbought nor oversold. The STOCH value of 12.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ISPO.

Inspirato Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OSW	77 Outperform	$2.13B	32.67	12.80%	0.76%	9.80%	89.42%
LTH	73 Outperform	$6.46B	30.59	8.24%	―	18.58%	169.49%
PLNT	71 Outperform	$8.97B	50.66	-79.88%	―	10.32%	20.44%
Sector *	62 Neutral	$16.76B	11.38	-7.38%	2.96%	1.59%	-23.30%
PTON	55 Neutral	$2.63B	―	58.47%	―	-6.35%	79.04%
MODG	53 Neutral	$1.70B	―	-46.00%	―	-1.74%	-2020.38%
ISPO	48 Neutral	$44.29M	―	8.84%	―	-16.42%	88.30%

Inspirato Corporate Events

Inspirato Announces Merger with Buyerlink for Expansion

On June 25, 2025, Inspirato announced a definitive agreement to merge with Buyerlink, a move that will form One Planet Platforms, a diversified consumer-focused marketplaces platform. This strategic merger aims to enhance Inspirato’s luxury travel services by integrating Buyerlink’s marketplace capabilities, thereby expanding its reach in the global luxury travel market. The merger, valued at approximately $326 million, is expected to be completed in the third quarter of 2025, subject to customary closing conditions and approvals. The combined company will trade on the Nasdaq Stock Exchange under a new ticker symbol, with Payam Zamani serving as Chairman and CEO.

Inspirato Stockholders Meeting Results on June 12, 2025

On June 12, 2025, Inspirato Incorporated held its Annual Meeting of Stockholders, where 70.11% of the outstanding shares were represented. During the meeting, a proposal to amend the Company’s Certificate of Incorporation to declassify the Board of Directors was not approved, as it did not meet the required two-thirds majority. Consequently, the election of six directors contingent on this proposal was not applicable. However, two Class III directors, May Samali and Julie Wainwright, were elected to serve until the 2028 annual meeting. Additionally, the appointment of BDO USA, P.C. as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2025, was ratified.

Inspirato Reports Record Profits for Q1 2025

On May 7, 2025, Inspirato reported its most profitable quarter since going public, driven by improved gross margins and operational efficiencies. The company achieved a net income of $1.6 million and an adjusted EBITDA of $5.6 million for Q1 2025, marking a 38% improvement year-over-year. Inspirato maintained strong occupancy rates and increased average daily rates, reflecting its focus on high-quality, recurring revenue. The company reiterated its full-year 2025 financial guidance, anticipating further improvements in adjusted EBITDA and cash operating expenses.

Inspirato Announces President’s Departure and CEO Transition

On April 22, 2025, Inspirato Incorporated announced the immediate separation of David Kallery from his role as President. The company’s CEO, Payam Zamani, will take over Kallery’s responsibilities. The company is in discussions with Kallery regarding his separation terms, and any significant compensation details will be disclosed later. Kallery will not seek re-election at the upcoming annual meeting, and his board seat will be filled at a future date.