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Inspirato (ISPO)
NASDAQ:ISPO
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Inspirato (ISPO) AI Stock Analysis

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ISPO

Inspirato

(NASDAQ:ISPO)

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Neutral 41 (OpenAI - 4o)
Rating:41Neutral
Price Target:
$2.50
▲(4.17% Upside)
Inspirato's overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. While there are some operational improvements, the company's high leverage, declining revenues, and negative cash flows are significant concerns. The valuation is not compelling, and recent earnings call insights add to the uncertainty.

Inspirato (ISPO) vs. SPDR S&P 500 ETF (SPY)

Inspirato Business Overview & Revenue Model

Company DescriptionInspirato 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 MoneyInspirato generates revenue primarily through its membership model, where customers pay an annual fee to access its exclusive inventory of luxury accommodations. The company offers various membership tiers, providing different levels of access and benefits. Additionally, Inspirato earns revenue from booking fees and commissions on the rental of its properties. The company's partnerships with luxury property owners, hotel brands, and travel service providers enhance its offerings and contribute to its earnings, allowing it to deliver high-quality travel experiences to its members while maintaining a competitive edge in the luxury travel market.

Inspirato Earnings Call Summary

Earnings Call Date:Nov 04, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Mar 11, 2026
Earnings Call Sentiment Neutral
Inspirato showed significant operational improvements and strategic advancements, particularly in cost management and brand elevation. However, the company faced challenges with declining revenue, negative free cash flow, and the termination of a strategic merger. The departure of the CFO adds uncertainty to future financial leadership. Overall, while the company is making strides internally, external financial metrics show a need for continued focus on revenue growth and cash flow stabilization.
Q3-2025 Updates
Positive Updates
Significant Improvement in Adjusted EBITDA
Inspirato delivered a 97% year-over-year improvement in adjusted EBITDA, reflecting progress in reducing fixed commitments while maintaining quality service.
Operational Efficiency Achievements
Achieved $4 million in annualized savings by renegotiating vendor contracts without impacting service quality.
Successful Presale of New Pass Membership
More new Pass members added in less than 3 months than in the prior 12 months, indicating strong market reception.
Cost Management and EBITDA Profitability
Achieved adjusted EBITDA profitability on a trailing 12-month basis in Q2 and Q3 through disciplined cost management and organizational rightsizing.
Brand Elevation Initiatives
Relaunched Inspirato Magazine and expanded social media presence, enhancing brand recognition and status.
Strategic Property Enhancements
Implemented several property enhancements to strengthen member satisfaction and drive higher occupancy.
Negative Updates
Decline in Total Revenue
Total revenue was approximately $56 million, down 20% year-over-year.
Subscription Revenue Decline
Subscription revenue was $19.4 million, down 16% year-over-year, primarily due to a planned decline in Pass subscriptions.
Challenges in Travel Revenue
Travel revenue was $33.9 million, down 20% year-over-year, driven by fewer members and lower occupancy.
Negative Free Cash Flow
Free cash flow was negative $3 million in Q3, due to net cash used in operating activities and transaction-related costs.
Termination of Proposed Merger
The proposed business combination with Buyerlink was mutually terminated, which was intended to accelerate digital strategy.
Departure of CFO
CFO Michael Arthur announced his departure, which could impact the company's strategic financial planning.
Company Guidance
During Inspirato's Third Quarter 2025 Conference Call, the company provided several key metrics and updates on its strategic initiatives. They reported a 97% year-over-year improvement in adjusted EBITDA and a $13.2 million increase in year-to-date adjusted EBITDA, alongside a $15 million enhancement in operating cash flow. The company also renegotiated vendor contracts, resulting in $4 million in annual savings. Revenue for the quarter was approximately $56 million, a 20% decline from the previous year, while subscription revenue reached $19.4 million, down 16% year-over-year. Inspirato's membership figures included around 9,500 active Club members and 1,100 active Pass members. The company successfully relaunched its Pass membership, generating more sales in under three months than the previous 12 months combined. Looking ahead, Inspirato expects continued improvement in EBITDA margin and projected full-year EBITDA between $2 million and $4 million, with revenue ranging from $235 million to $240 million. The call also addressed the termination of a proposed business combination with Buyerlink and announced CFO Michael Arthur's departure at the end of 2025.

Inspirato Financial Statement Overview

Summary
Inspirato's financial performance is weak, with declining revenues, negative profitability, and high leverage. Despite some operational efficiencies, the company faces significant financial instability and poor cash flow management.
Income Statement
45
Neutral
Inspirato's income statement shows a declining revenue trend with a negative revenue growth rate of -1.61% in the TTM period. The gross profit margin is relatively healthy at 43.73%, but the net profit margin is negative, indicating losses. The EBIT and EBITDA margins are positive, suggesting some operational efficiency, but overall profitability remains a concern.
Balance Sheet
30
Negative
The balance sheet reveals significant financial leverage with a negative debt-to-equity ratio, indicating more debt than equity. The return on equity is slightly positive, but the negative equity ratio highlights financial instability. The company needs to address its high debt levels to improve financial health.
Cash Flow
40
Negative
Cash flow analysis shows negative operating and free cash flows, with a declining free cash flow growth rate of -20.62% in the TTM period. The free cash flow to net income ratio is positive, suggesting some ability to cover net losses, but overall cash flow management needs improvement.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue261.23M279.86M329.10M345.53M234.75M165.59M
Gross Profit114.24M119.22M54.31M116.20M82.00M64.99M
EBITDA55.70M60.54M7.44M43.55M-26.37M4.42M
Net Income-1.64M-5.39M-51.76M-24.06M-22.22M-540.00K
Balance Sheet
Total Assets252.64M273.88M330.73M430.37M145.77M177.70M
Cash, Cash Equivalents and Short-Term Investments16.72M35.01M42.27M81.94M82.95M1.24M
Total Debt199.27M206.06M282.68M282.46M13.27M0.00
Total Liabilities382.34M403.74M485.43M505.36M252.18M23.22M
Stockholders Equity-129.70M-129.85M-30.24M11.73M-106.41M154.48M
Cash Flow
Free Cash Flow-16.33M-21.24M-57.70M-59.96M25.79M7.69M
Operating Cash Flow-12.35M-15.77M-51.39M-45.69M28.75M11.58M
Investing Cash Flow-4.23M-6.01M-12.12M-14.27M-4.02M-3.89M
Financing Cash Flow16.87M14.52M23.84M58.95M-8.79M16.55M

Inspirato Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2.40
Price Trends
50DMA
2.88
Negative
100DMA
3.02
Negative
200DMA
3.50
Negative
Market Momentum
MACD
-0.12
Positive
RSI
26.62
Positive
STOCH
4.12
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 2.4 is below the 20-day moving average (MA) of 2.74, below the 50-day MA of 2.88, and below the 200-day MA of 3.50, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 26.62 is Positive, neither overbought nor oversold. The STOCH value of 4.12 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ISPO.

Inspirato Risk Analysis

Inspirato disclosed 37 risk factors in its most recent earnings report. Inspirato reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Inspirato Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
$2.23B30.9013.53%0.69%7.27%45.12%
67
Neutral
$5.63B19.5010.38%15.77%86.16%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
55
Neutral
$1.90B10.51-3.27%-17.93%
48
Neutral
$3.12B-8.74%74.66%
41
Neutral
$32.55M34.52-13.85%77.24%
41
Neutral
$311.58M-3.55%-111.90%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ISPO
Inspirato
2.40
-1.05
-30.43%
PRKS
United Parks & Resorts
34.33
-22.54
-39.63%
OSW
OneSpaWorld Holdings
21.68
2.53
13.21%
PTON
Peloton Interactive
7.47
-0.84
-10.11%
XPOF
Xponential Fitness
6.27
-9.43
-60.06%
LTH
Life Time Group Holdings
25.70
1.52
6.29%

Inspirato Corporate Events

Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
Inspirato CFO Resigns Amid Operational Improvements
Neutral
Nov 4, 2025

On November 3, 2025, Inspirato‘s CFO Michael Arthur announced his resignation, effective immediately, but will remain in a transitional role until the end of the year. The company reported significant operational improvements in Q3 2025, including a 97% year-over-year improvement in adjusted EBITDA and a 26% reduction in cash operating expenses, despite challenges from foreign exchange rates. Inspirato also launched pre-sales for a new membership model, aiming for efficient growth in 2026.

The most recent analyst rating on (ISPO) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

Executive/Board Changes
Julie Wainwright Resigns from Inspirato Board
Neutral
Oct 14, 2025

On October 9, 2025, Julie Wainwright resigned from the Board of Directors of Inspirato Incorporated, effective October 31, 2025, for personal reasons unrelated to any disagreements with the company’s operations or policies. The company expressed gratitude for her contributions and is actively seeking a replacement to ensure a smooth transition.

The most recent analyst rating on (ISPO) stock is a Hold with a $2.50 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

Executive/Board Changes
Inspirato Nominates Jordan Spiegel as New Director
Neutral
Sep 29, 2025

On September 26, 2025, Inspirato Incorporated’s Board of Directors approved the nomination of Jordan Spiegel as a director, pending stockholder approval. Mr. Spiegel’s nomination involves no related party transactions or arrangements, and he will join the company’s standard compensation program for non-employee directors.

The most recent analyst rating on (ISPO) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

Business Operations and StrategyM&A Transactions
Inspirato Declines Acquisition Offer, Focuses on Independence
Neutral
Sep 29, 2025

On September 29, 2025, Inspirato Incorporated announced it had received unsolicited interest in acquiring the company but decided not to pursue the offer after a thorough review by its Board of Directors. The company reaffirmed its commitment to an independent strategy, highlighting recent achievements such as reducing overhead, relaunching Inspirato Pass, and achieving profitability, all aimed at maximizing long-term shareholder value. Inspirato is focused on enhancing member offerings, profitable growth, and exploring financing options to support its growth strategy as a stand-alone entity.

The most recent analyst rating on (ISPO) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

M&A Transactions
Inspirato Terminates Planned Merger with Buyerlink
Neutral
Sep 23, 2025

On September 18, 2025, Inspirato Incorporated, along with RR Merger Sub, Inc. and Buyerlink Inc., mutually agreed to terminate their previously planned merger, initially set out in an agreement dated June 25, 2025. The termination agreement specifies that no fees will be paid by any party, and each will cover its own expenses, while certain provisions will remain effective as per their terms.

The most recent analyst rating on (ISPO) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

Legal ProceedingsM&A Transactions
Inspirato Receives Offer from Exclusive Investments
Negative
Sep 19, 2025

On September 18, 2025, Inspirato Incorporated received a non-binding, conditional offer from Exclusive Investments, LLC to purchase 100% of the company’s outstanding equity, valuing the enterprise at $68.6 million. Inspirato believes the proposal is not actionable and was disclosed in violation of a nondisclosure agreement. The board of directors will continue to explore options to serve the best interests of the company and its shareholders.

The most recent analyst rating on (ISPO) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

Business Operations and StrategyM&A Transactions
Inspirato Ends Merger Agreement with Buyerlink
Neutral
Sep 15, 2025

On September 15, 2025, Inspirato Incorporated announced the mutual termination of its merger agreement with Buyerlink, initially signed on June 25, 2025. The decision to remain independent reflects Inspirato’s confidence in its brand and operations, emphasizing its commitment to shareholder value and long-term growth in the luxury travel industry. Inspirato will continue to focus on enhancing its member experience and exploring strategic alternatives to maximize shareholder value.

The most recent analyst rating on (ISPO) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

M&A Transactions
Inspirato Receives Acquisition Proposal from Exclusive Investments
Neutral
Sep 5, 2025

On September 3, 2025, Inspirato Incorporated received an unsolicited, non-binding proposal from Exclusive Investments, LLC to acquire all outstanding equity for $3.15 per share, totaling approximately $39 million. This proposal is not subject to a financing contingency but requires confirmatory due diligence and negotiation of definitive documentation. Meanwhile, Inspirato is also engaged in a previously announced merger agreement with Buyerlink, Inc., which would significantly increase One Planet Group’s ownership stake in the combined company. The Special Committee of Inspirato’s Board is reviewing the new proposal, though the board has not changed its support for the Buyerlink transaction.

The most recent analyst rating on (ISPO) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Inspirato stock, see the ISPO Stock Forecast page.

Inspirato’s Earnings Call: Strategic Moves and Challenges
Sep 1, 2025

The recent earnings call for Inspirato Incorporated presented a balanced sentiment, highlighting both strategic advancements and operational improvements alongside challenges in revenue and subscription metrics. The company’s strategic combination with Buyerlink and improvements in adjusted EBITDA and brand elevation efforts are notable positives. However, these are counterbalanced by declines in revenue and subscription numbers. Overall, the sentiment leans slightly positive due to strategic initiatives expected to drive future growth.

M&A TransactionsPrivate Placements and Financing
Inspirato Announces Termination Agreement Amid Merger Plans
Neutral
Aug 18, 2025

On August 15, 2025, Inspirato Incorporated announced a Termination Agreement to end the 8% Senior Secured Convertible Note with Oakstone Ventures, contingent on the closing of a merger with Buyerlink, Inc. The agreement involves a $20 million payoff to Oakstone Ventures and the termination of related agreements with Capital One. If the merger does not close by December 15, 2025, the Capital One Parties may sell or transfer the Note. Inspirato is in preliminary talks for financing to support this termination, though no agreements have been finalized.

Inspirato Reports Q2 Results and Strategic Merger
Aug 14, 2025

Inspirato Incorporated is a luxury vacation club and property technology company that offers a curated portfolio of vacation options, including exclusive luxury vacation homes and accommodations at five-star hotels and resorts. The company operates in the luxury travel industry and is known for its innovative model that ensures service, certainty, and value for discerning travelers.

Business Operations and StrategyFinancial DisclosuresM&A Transactions
Inspirato Announces Strategic Merger with Buyerlink
Positive
Aug 12, 2025

Inspirato reported its Q2 2025 financial results, showing significant operational improvements with a net loss of $5.3 million and an adjusted EBITDA improvement of $8.8 million year-over-year. The company announced a strategic combination with Buyerlink, a leader in online marketplaces, to form One Planet Platforms, which is expected to enhance Inspirato’s luxury travel offerings and global reach. This merger, valued at approximately $326.3 million, is anticipated to close in the third quarter of 2025, positioning the combined entity as a diversified, technology-driven platform in the luxury travel market.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 05, 2025