Comparing Inspirato (NASDAQ:ISPO) & Norwegian Cruise Line (NYSE:NCLH)

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

Institutional & Insider Ownership

39.5% of Inspirato shares are owned by institutional investors. Comparatively, 69.6% of Norwegian Cruise Line shares are owned by institutional investors. 50.0% of Inspirato shares are owned by company insiders. Comparatively, 0.4% of Norwegian Cruise Line shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Inspirato and Norwegian Cruise Line, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Inspirato	1	0	0	0	1.00
Norwegian Cruise Line	1	11	7	1	2.40

Norwegian Cruise Line has a consensus price target of $21.06, suggesting a potential upside of 14.83%. Given Norwegian Cruise Line’s stronger consensus rating and higher possible upside, analysts plainly believe Norwegian Cruise Line is more favorable than Inspirato.

Profitability

This table compares Inspirato and Norwegian Cruise Line’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%
Norwegian Cruise Line	5.66%	47.84%	4.46%

Volatility and Risk

Inspirato has a beta of -0.03, suggesting that its share price is 103% less volatile than the S&P 500. Comparatively, Norwegian Cruise Line has a beta of 1.92, suggesting that its share price is 92% more volatile than the S&P 500.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Inspirato	$247.65 million	0.22	-$5.39 million	($0.87)	-4.90
Norwegian Cruise Line	$9.83 billion	0.86	$423.25 million	$1.19	15.41

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

Summary

Norwegian Cruise Line beats Inspirato on 14 of the 15 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 Norwegian Cruise Line

Norwegian Cruise Line Holdings Ltd., together with its subsidiaries, operates as a cruise company in North America, Europe, the Asia-Pacific, and internationally. The company operates through the Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises brands. It offers itineraries ranging from three days to a 180-days calling on various ports, including Scandinavia, Northern Europe, the Mediterranean, the Greek Isles, Alaska, Canada and New England, Hawaii, Asia, Tahiti and the South Pacific, Australia and New Zealand, Africa, India, South America, the Panama Canal, and the Caribbean. It distributes its products through retail/travel advisor and onboard cruise sales channels, as well as meetings, incentives, and charters. Norwegian Cruise Line Holdings Ltd. was founded in 1966 and is based in Miami, Florida.