Head to Head Review: Inspirato (NASDAQ:ISPO) versus United Parks & Resorts (NYSE:PRKS)

United Parks & Resorts (NYSE:PRKS) and Inspirato (NASDAQ:ISPO) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.

Analyst Ratings

This is a breakdown of current recommendations for United Parks & Resorts and Inspirato, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Parks & Resorts	3	6	4	0	2.08
Inspirato	1	0	0	0	1.00

United Parks & Resorts currently has a consensus target price of $50.82, suggesting a potential upside of 46.17%. Given United Parks & Resorts’ stronger consensus rating and higher possible upside, research analysts plainly believe United Parks & Resorts is more favorable than Inspirato.

Risk & Volatility

United Parks & Resorts has a beta of 1.31, suggesting that its share price is 31% more volatile than the S&P 500. Comparatively, Inspirato has a beta of 0.02, suggesting that its share price is 98% less volatile than the S&P 500.

Profitability

This table compares United Parks & Resorts and Inspirato’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United Parks & Resorts	10.83%	-44.47%	6.88%
Inspirato	-4.24%	N/A	-4.10%

Insider and Institutional Ownership

39.5% of Inspirato shares are owned by institutional investors. 1.2% of United Parks & Resorts shares are owned by insiders. Comparatively, 50.0% of Inspirato shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares United Parks & Resorts and Inspirato”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United Parks & Resorts	$1.73 billion	1.10	$227.50 million	$3.27	10.63
Inspirato	$279.86 million	0.19	-$5.39 million	($0.87)	-4.79

United Parks & Resorts has higher revenue and earnings than Inspirato. Inspirato is trading at a lower price-to-earnings ratio than United Parks & Resorts, indicating that it is currently the more affordable of the two stocks.

Summary

United Parks & Resorts beats Inspirato on 11 of the 14 factors compared between the two stocks.

About United Parks & Resorts

United Parks & Resorts, Inc. is a holding company, which engages in the ownership and operation of theme parks. Its portfolio includes SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Sesame Place, and Sea Rescue. The company was founded in 1959 and is headquartered in Orlando, FL.

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.