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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 44 (OpenAI - 4o)
Rating:44Neutral
Price Target:
$2.50
▼(-14.38% Downside)
Inspirato's overall stock score reflects significant financial challenges, including declining revenues and high leverage, which are the most impactful factors. Technical analysis indicates bearish trends, while valuation metrics suggest the stock is expensive. The earnings call provides some optimism with strategic initiatives, but these are not enough to offset the broader financial concerns.

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

Inspirato Business Overview & Revenue Model

Company DescriptionInspirato (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 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:Aug 12, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Dec 22, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of significant strategic advancements and operational improvements alongside notable challenges in revenue and subscription metrics. The combination with Buyerlink and improvements in adjusted EBITDA and brand elevation efforts are strong positives, but these are tempered by declines in revenue and subscription numbers. The sentiment is balanced with a slight positive tilt due to strategic initiatives expected to drive future growth.
Q2-2025 Updates
Positive Updates
Strategic Combination with Buyerlink
Inspirato entered into a definitive agreement to combine with Buyerlink, a leader in online marketplaces, which is expected to enhance personalization and monetization of luxury travel services, and expand Inspirato's reach.
Significant Improvement in Adjusted EBITDA
Inspirato achieved a 96% or $8.8 million year-over-year improvement in adjusted EBITDA, demonstrating the impact of cost optimization initiatives.
Positive Trailing 12-Month Adjusted EBITDA
Inspirato reported positive trailing 12-month adjusted EBITDA of $3.9 million, reflecting sustained cost efficiency measures.
Operational Efficiency Achievements
Cost of revenue declined by $5.5 million year-over-year due to ongoing portfolio optimization efforts, while operating expenses were down approximately $9 million.
Successful Brand Elevation Efforts
Inspirato made strides in brand elevation, including the reimagination of Inspirato magazine and the expansion of their digital and social media presence, which increased engagement and awareness.
Experiential Travel Business Growth
Experiential travel business revenue was up 47% year-over-year, contributing to a 1% increase in travel revenue.
Negative Updates
Decline in Total Revenue
Total revenue for Q2 2025 was approximately $63.1 million, representing a 6% decline year-over-year, primarily due to a planned decline in Pass subscriptions.
Decrease in Subscription Revenue
Subscription revenue was $19.4 million, down 23% year-over-year due to scaling back the previous version of Pass.
Reduced Occupancy Levels
Controlled accommodations delivered an occupancy level of 59%, down from 71% in Q2 2024, despite a 24% increase in average daily rate (ADR).
Negative Free Cash Flow Year-to-Date
Year-to-date free cash flow remains negative at $7.3 million, although it is an improvement from the prior year.
Company Guidance
During Inspirato's Second Quarter 2025 Earnings Conference Call, the company provided extensive guidance on its strategic direction and financial outlook. Inspirato announced a definitive agreement to combine with Buyerlink, a move expected to significantly enhance its platform and expand its market reach. Buyerlink reported approximately $124 million in revenue and over $26 million in EBITDA in 2024, and the merger is projected to increase combined revenue to over $350 million, with approximately $30 million in adjusted EBITDA on a pro forma basis for 2025. Inspirato's Q2 results showed a notable improvement with a negative adjusted EBITDA of $300,000, compared to negative $9.2 million in Q2 2024, and total revenue of $63.1 million. The company achieved a 96% year-over-year improvement in adjusted EBITDA, reflecting successful cost optimization initiatives. Subscription revenue was $19.4 million, with a decline attributed to a strategic scale-back of Pass subscriptions, while travel revenue increased by 1% to $39.4 million. Inspirato's future focus includes enhancing operational efficiency, brand elevation, member experience, and digital platform capabilities, leveraging Buyerlink's technology to drive growth. The transaction is expected to close in the third quarter, with full integration anticipated to bring operational synergies and financial benefits.

Inspirato Financial Statement Overview

Summary
Inspirato is facing significant financial challenges across its income statement, balance sheet, and cash flow statement. The company struggles with profitability, high leverage, and negative cash flows, raising concerns about its financial sustainability. While there are some positive trends, such as improved EBIT and EBITDA margins, the overall financial health remains precarious, with risks of insolvency and liquidity constraints.
Income Statement
45
Neutral
Inspirato's income statement reveals significant challenges. The company has faced negative net income consistently, and net profit margins remain negative, indicating a lack of profitability. Although there is a positive gross profit margin, the revenue growth trend is declining, which is concerning. The EBIT and EBITDA margins show improvement in TTM (Trailing-Twelve-Months) compared to the previous annual report, but overall profitability is still lacking.
Balance Sheet
30
Negative
The balance sheet of Inspirato highlights financial distress, with negative stockholders' equity and high debt levels. The debt-to-equity ratio is not meaningful due to negative equity, indicating significant insolvency risk. The equity ratio is negative, further emphasizing financial instability. These factors severely impact the company's financial health and illustrate a high leverage situation.
Cash Flow
40
Negative
Inspirato's cash flow statement shows consistent negative free cash flow, reflecting poor cash generation from operations. Operating cash flow is also negative, which is a significant concern. The ratios of operating cash flow and free cash flow to net income are not favorable, indicating cash management issues. However, financing activities have provided some liquidity, albeit insufficient for overall positive cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue261.23M279.86M329.10M345.53M234.75M165.59M
Gross Profit114.24M119.22M54.31M116.24M82.00M64.99M
EBITDA55.70M60.54M6.17M43.54M-26.37M4.42M
Net Income-1.64M-5.39M-51.76M-24.06M-22.22M-540.00K
Balance Sheet
Total Assets252.64M273.88M330.73M430.37M145.77M120.61M
Cash, Cash Equivalents and Short-Term Investments16.72M21.84M36.57M80.28M80.23M62.77M
Total Debt199.27M206.06M282.68M282.46M13.27M23.55M
Total Liabilities382.34M403.74M485.43M505.36M335.46M283.81M
Stockholders Equity-129.70M-129.85M-30.24M11.73M-189.69M-163.21M
Cash Flow
Free Cash Flow-16.33M-21.24M-63.52M-59.96M24.74M7.69M
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
Neutral
Last Price2.92
Price Trends
50DMA
2.96
Negative
100DMA
3.16
Negative
200DMA
3.68
Negative
Market Momentum
MACD
-0.02
Negative
RSI
50.80
Neutral
STOCH
82.11
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ISPO, the sentiment is Neutral. The current price of 2.92 is above the 20-day moving average (MA) of 2.89, below the 50-day MA of 2.96, and below the 200-day MA of 3.68, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 50.80 is Neutral, neither overbought nor oversold. The STOCH value of 82.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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
$2.18B31.3013.16%0.75%8.51%31.24%
$5.70B25.368.66%17.25%93.88%
$18.38B12.79-2.54%3.03%1.52%-15.83%
$2.73B13.91-1.43%-2.50%
$3.19B-7.76%79.66%
$35.04M37.17-13.20%
$339.82M-3.02%-517.53%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ISPO
Inspirato
2.92
-1.08
-27.00%
PRKS
United Parks & Resorts
51.88
-2.77
-5.07%
OSW
OneSpaWorld Holdings
21.32
4.06
23.52%
PTON
Peloton Interactive
7.72
1.32
20.62%
XPOF
Xponential Fitness
6.94
-5.55
-44.44%
LTH
Life Time Group Holdings
26.77
3.77
16.39%

Inspirato Corporate Events

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: Oct 13, 2025