Financial Contrast: Inspirato (NASDAQ:ISPO) vs. Hyatt Hotels (NYSE:H)

Hyatt Hotels (NYSE:H) and Inspirato (NASDAQ:ISPO) are both consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, analyst recommendations, risk, dividends, institutional ownership and profitability.

Volatility and Risk

Hyatt Hotels has a beta of 1.34, indicating that its stock price is 34% more volatile than the S&P 500. Comparatively, Inspirato has a beta of -0.03, indicating that its stock price is 103% less volatile than the S&P 500.

Earnings and Valuation

This table compares Hyatt Hotels and Inspirato”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hyatt Hotels	$7.10 billion	2.14	-$52.00 million	$0.82	196.37
Inspirato	$247.65 million	0.22	-$5.39 million	($0.87)	-4.90

Inspirato has lower revenue, but higher earnings than Hyatt Hotels. Inspirato is trading at a lower price-to-earnings ratio than Hyatt Hotels, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Hyatt Hotels and Inspirato’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hyatt Hotels	1.10%	7.27%	1.85%
Inspirato	-4.24%	N/A	-4.10%

Insider and Institutional Ownership

73.5% of Hyatt Hotels shares are held by institutional investors. Comparatively, 39.5% of Inspirato shares are held by institutional investors. 23.6% of Hyatt Hotels shares are held by company insiders. Comparatively, 50.0% of Inspirato shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and recommmendations for Hyatt Hotels and Inspirato, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hyatt Hotels	0	6	10	0	2.62
Inspirato	1	0	0	0	1.00

Hyatt Hotels currently has a consensus price target of $197.80, suggesting a potential upside of 22.84%. Given Hyatt Hotels’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Hyatt Hotels is more favorable than Inspirato.

Summary

Hyatt Hotels beats Inspirato on 12 of the 14 factors compared between the two stocks.

About Hyatt Hotels

Hyatt Hotels Corporation operates as a hospitality company in the United States and internationally. It operates through Owned and Leased Hotels, Americas Management and Franchising, ASPAC Management and Franchising, EAME Management and Franchising, and Apple Leisure Group segments. The company manages, franchises, licenses, owns, and leases portfolio of properties, consisting of full-service hotels and resorts, select service hotels, and other properties, including timeshare, fractional, residential, vacation, and condominium units. It operates its properties under the Park Hyatt, Grand Hyatt, Hyatt Regency, Hyatt, Hyatt vacation Club, Hyatt Place, Hyatt House, Hyatt Studios, UrCove, Miraval, Alila, Andaz, Thompson Hotels, Dream Hotels, Hyatt Centric, Caption by Hyatt, The Unbound Collection by Hyatt, Destination by Hyatt, JdV by Hyatt, Hyatt Ziva, Hyatt Zilara, Zoëtry Wellness & Spa Resorts, Secrets Resorts & Spas, Breathless Resorts & Spas, Dreams Resorts & Spas, Hyatt Vivid Hotel & Resorts, Alua Hotels & Resorts, Sunscape Resorts & Spas, Maison Métier, and The Barnett brand name. The company offers short-term vacation rental platform, Homes & Hideaways by World of Hyatt, that features direct booking for short-term private home rentals in the United States. It primarily serves corporations; national, state, and regional associations; specialty market accounts, including social, government, military, educational, religious, and fraternal organizations; travel agency and luxury organizations; and a group of individual consumers. It also operates World of Hyatt loyalty program, which rewards points that can be redeemed for hotel nights and other rewards. Hyatt Hotels Corporation was founded in 1957 and is headquartered in Chicago, Illinois.

About Inspirato

Inspirato Incorporated, together with its subsidiaries, operates as a subscription-based luxury travel company. The company's portfolio includes luxury vacation homes, and accommodations at luxury hotels and resorts, as well as luxury safaris, cruises, custom-designed itineraries, and other experiences. It is involved in solving critical pain points for hospitality suppliers seeking to monetize their property with rental income. In addition, the company offers Inspirato Pass for member to book pass trips; Inspirato Club for members to book trips up to one year in advance Inspirato for Good, a platform designed to help nonprofit organizations accelerate funding results; Inspirato for Business, a business-to-business channel through which subscription and travel products are sold directly to businesses seeking to leverage luxury accommodations to recruit, retain, and reward their employees. The company was founded in 2010 and is headquartered in Denver, Colorado.