Inspirato (ISPO) AI Stock Analysis

• Market Cap: $53.29M
• Dividend Yield: N/A
• Average Volume (3M): 67.70K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.30
• Revenue Growth: -13.85%
• EPS Growth: 77.24%
• Country: US
• Employees: 470
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): -0.36
• Shares Outstanding: 12,568,022
• 10 Day Avg. Volume: 21,481
• 30 Day Avg. Volume: 67,703
• PEG Ratio: 0.04
• Price to Book (P/B): -0.15
• Price to Sales (P/S): 0.07
• P/FCF Ratio: -0.93
• Enterprise Value/Market Cap: 2.68
• Enterprise Value/Revenue: 0.58
• Enterprise Value/Gross Profit: 1.74
• Enterprise Value/Ebitda: 3.34
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: $4.00 ▼(-4.31% Downside)

The score is held back primarily by weak financial fundamentals—negative equity, high debt, and still-negative TTM profitability and free cash flow—despite improving operating performance. Technicals are supportive but appear overextended (very high RSI/Stoch). The announced all-cash acquisition at a premium and improved EBITDA guidance provide meaningful offsetting support, while valuation remains constrained by losses (negative P/E).

Positive Factors

Improving EBITDA

Adjusted EBITDA improved 97% YoY and trailing EBITDA margins turned positive, signaling durable progress in cost structure and operations. Sustained EBITDA generation indicates the company can cover fixed costs more reliably and move toward consistent profitability as membership stabilizes.

Structural cost savings

Renegotiated vendor contracts delivering $4M in annual savings and a $15M improvement in YTD operating cash flow represent lasting reductions to the cost base. These structural savings lower the break-even point and improve free-cash-flow potential, making earnings less sensitive to revenue swings.

Planned acquisition / privatization

The announced all-cash merger and transition to private ownership restructures governance and capital structure, with debt assumption and unwinding of related-party agreements. This can enable longer-term operational investments and consolidation without public market short-term pressures.

Negative Factors

Weak balance sheet

Persistent negative equity and elevated leverage materially constrain financial flexibility. The weakened capital structure increases refinancing and covenant risk, limits capacity to fund growth or absorb shocks, and reduces the company’s options for strategic investments over the medium term.

Negative cash generation

Although cash flow improved versus 2024, trailing OCF and FCF remain negative, undermining the firm’s ability to self-fund capex, property upgrades, or membership growth. Without consistent positive FCF, reliance on external financing or owner support could persist, raising sustainability risk.

Revenue decline & member trends

Declining revenue and falling subscription sales reduce scale benefits and pressure gross margins. Sustained top-line contraction makes it harder to realize operating-leverage gains from cost cuts and puts long-term profitability at risk unless member acquisition and retention reverse course.

Inspirato Business Overview & Revenue Model

Company Description

Inspirato (ISPO) is a luxury travel and vacation rental company that provides curated travel experiences to its members. The company operates in the travel and hospitality sector, offering a portfolio of high-end vacation homes, luxury hotel rooms, and unique travel experiences. Inspirato aims to simplify the vacation planning process for its members while ensuring premium accommodations and personalized services.

How the Company Makes Money

Inspirato 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 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 challenges in improving financial stability and cash flow management.

Income Statement

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

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

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.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	247.65M	279.86M	329.10M	345.53M	234.75M	165.59M
Gross Profit	82.27M	119.22M	54.31M	116.20M	82.00M	64.99M
EBITDA	42.73M	60.54M	7.44M	43.55M	-26.37M	4.42M
Net Income	-10.49M	-5.39M	-51.76M	-24.06M	-22.22M	-540.00K
Balance Sheet
Total Assets	228.29M	273.88M	330.73M	430.37M	145.77M	120.61M
Cash, Cash Equivalents and Short-Term Investments	26.79M	35.01M	42.27M	81.94M	82.95M	62.77M
Total Debt	180.62M	206.06M	282.68M	282.46M	13.27M	23.55M
Total Liabilities	362.26M	403.74M	485.43M	505.36M	252.18M	283.81M
Stockholders Equity	-133.98M	-129.85M	-30.24M	11.73M	-106.41M	-163.21M
Cash Flow
Free Cash Flow	-4.26M	-21.24M	-57.70M	-59.96M	25.79M	7.69M
Operating Cash Flow	-807.00K	-15.77M	-51.39M	-45.69M	28.75M	11.58M
Investing Cash Flow	-3.70M	-6.01M	-12.12M	-14.27M	-4.02M	-3.89M
Financing Cash Flow	7.16M	14.52M	23.84M	58.95M	-8.79M	16.55M

Inspirato Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.18
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ISPO, the sentiment is Positive. The current price of 4.18 is below the 20-day moving average (MA) of 4.19, above the 50-day MA of 3.29, and above the 200-day MA of 3.27, indicating a bullish trend. The MACD of 0.26 indicates Positive momentum. The RSI at 85.28 is Negative, neither overbought nor oversold. The STOCH value of 86.31 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ISPO.

Inspirato Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LTH	71 Outperform	$5.98B	21.17	10.38%	―	15.77%	86.16%
OSW	70 Outperform	$2.01B	27.81	13.53%	0.79%	7.27%	45.12%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
XPOF	54 Neutral	$399.81M	-4.98	―	―	-3.55%	-111.90%
PRKS	53 Neutral	$2.07B	11.59	―	―	-3.27%	-17.93%
ISPO	49 Neutral	$53.29M	-4.88	―	―	-13.85%	77.24%
PTON	45 Neutral	$2.64B	-23.09	―	―	-8.74%	74.66%

Inspirato Corporate Events

Inspirato agrees to go-private merger with Exclusive Investments

On December 16, 2025, Inspirato Incorporated agreed to be acquired by Exclusive Investments, LLC in a merger under which Inspirato will become a wholly owned subsidiary, with each outstanding share of Class A common stock converted into the right to receive $4.27 in cash, while restricted stock units will be cashed out and outstanding stock options cancelled without consideration. The deal, which is subject to shareholder approval, customary regulatory and closing conditions, and the absence of a material adverse effect, includes reciprocal $1 million termination fees under certain failure or superior-offer scenarios, a voting and support agreement from CEO Payam Zamani and affiliates controlling about 36% of Class A shares, the planned termination of Zamani’s employment at closing, the unwinding of related-party agreements by December 31, 2025 with final payments to his affiliated entities, and a separate note termination arrangement under which the buyer will assume an 8% senior secured convertible note while Inspirato’s master services agreement with Capital One is terminated, collectively reshaping the company’s capital structure, governance and related-party exposure as it transitions to private ownership.

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 Announces Merger Agreement with Exclusive Investments

On December 17, 2025, Inspirato entered into an Agreement and Plan of Merger with Exclusive Investments LLC, the owner of Exclusive Resorts, to be acquired for $4.27 per share in an all-cash transaction, valuing the company at approximately $59 million with a 50% premium over its closing price. Once completed, Inspirato will become privately held, delist from Nasdaq, and undergo leadership changes, with CEO Payam Zamani stepping down and James Henderson taking over as interim CEO. The transaction is expected to provide long-term stability and operational support, aiming to create sustained value for employees, shareholders, and customers. Closing is anticipated in early 2026, subject to shareholder approval and other conditions.

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 Appoints Sam Veazey as Interim CFO

On December 3, 2025, Inspirato Incorporated announced the appointment of William Samuel ‘Sam’ Veazey as the Interim Chief Financial Officer, effective January 1, 2025, following the retirement of Michael Arthur on December 31, 2025. Mr. Veazey, who brings over 20 years of experience in financial and strategic leadership, will serve as the principal financial and accounting officer until a permanent CFO is appointed, with no existing conflicts of interest or related person transactions.

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 CFO Resigns Amid Operational Improvements

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.