Viking (NYSE:VIK) and Inspirato (NASDAQ:ISPO) Critical Review

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

Volatility & Risk

Inspirato has a beta of 0.02, indicating that its stock price is 98% less volatile than the S&P 500. Comparatively, Viking has a beta of 2.12, indicating that its stock price is 112% more volatile than the S&P 500.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Inspirato	$279.86 million	0.13	-$5.39 million	($0.87)	-3.23
Viking	$5.33 billion	5.90	$152.33 million	$2.14	33.16

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

Analyst Recommendations

This is a breakdown of recent recommendations for Inspirato and Viking, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Inspirato	1	0	0	0	1.00
Viking	1	5	11	0	2.59

Viking has a consensus target price of $66.00, indicating a potential downside of 7.00%. Given Viking’s stronger consensus rating and higher possible upside, analysts plainly believe Viking is more favorable than Inspirato.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Inspirato	-4.24%	N/A	-4.10%
Viking	15.53%	716.92%	9.82%

Institutional & Insider Ownership

39.5% of Inspirato shares are held by institutional investors. Comparatively, 98.8% of Viking shares are held by institutional investors. 50.0% of Inspirato shares are held by 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.

Summary

Viking beats Inspirato on 13 of the 14 factors compared between the two stocks.

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.

About Viking

Viking Holdings Ltd engages in the passenger shipping and other forms of passenger transport in North America, the United Kingdom, and internationally. It operates through River and Ocean segments. The company also operates as a tour entrepreneur for passengers and related activities in tourism. As of December 31, 2023, it operated a fleet of 92 ships, including 81 river vessels comprising 58 Longships, 10 smaller classes based on the Longship design, 11 other river vessels, and 1 river vessel charter and the Viking Mississippi; 9 ocean ships; and 2 expedition ships. The company was founded in 1997 and is based in Pembroke, Bermuda.