Marriott Vacations Worldwide (NYSE:VAC – Get Free Report) and Inspirato (NASDAQ:ISPO – Get Free Report) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, profitability, analyst recommendations and earnings.
Risk and Volatility
Marriott Vacations Worldwide has a beta of 1.24, meaning that its share price is 24% more volatile than the S&P 500. Comparatively, Inspirato has a beta of -0.03, meaning that its share price is 103% less volatile than the S&P 500.
Institutional and Insider Ownership
89.5% of Marriott Vacations Worldwide shares are held by institutional investors. Comparatively, 39.5% of Inspirato shares are held by institutional investors. 1.6% of Marriott Vacations Worldwide shares are held by insiders. Comparatively, 50.0% of Inspirato shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Marriott Vacations Worldwide | 3 | 3 | 5 | 0 | 2.18 |
| Inspirato | 1 | 0 | 0 | 0 | 1.00 |
Marriott Vacations Worldwide currently has a consensus price target of $73.67, suggesting a potential upside of 13.67%. Given Marriott Vacations Worldwide’s stronger consensus rating and higher probable upside, research analysts clearly believe Marriott Vacations Worldwide is more favorable than Inspirato.
Profitability
This table compares Marriott Vacations Worldwide and Inspirato’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Marriott Vacations Worldwide | -6.12% | 11.77% | 2.78% |
| Inspirato | -4.24% | N/A | -4.10% |
Earnings & Valuation
This table compares Marriott Vacations Worldwide and Inspirato”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Marriott Vacations Worldwide | $5.03 billion | 0.44 | -$308.00 million | ($9.27) | -6.99 |
| Inspirato | $247.65 million | 0.22 | -$5.39 million | ($0.87) | -4.90 |
Inspirato has lower revenue, but higher earnings than Marriott Vacations Worldwide. Marriott Vacations Worldwide is trading at a lower price-to-earnings ratio than Inspirato, indicating that it is currently the more affordable of the two stocks.
Summary
Marriott Vacations Worldwide beats Inspirato on 9 of the 14 factors compared between the two stocks.
About Marriott Vacations Worldwide
Marriott Vacations Worldwide Corporation, a vacation company, develops, markets, sells, and manages vacation ownership and related businesses, products, and services in the United States and internationally. It operates through two segments, Vacation Ownership and Exchange & Third-Party Management. The company manages vacation ownership and related products under the Marriott Vacation Club, Grand Residences by Marriott, Sheraton Vacation Club, Westin Vacation Club, Hyatt Vacation Club, and Marriott Vacation Club Pulse brands. It develops, markets, and sells vacation ownership and related products under The Ritz-Carlton Destination Club brand; and holds right to develop, market, and sell ownership residential products under The Ritz-Carlton Residences brand. In addition, the company offers exchange networks and membership programs, as well as provision of management services to other resorts and lodging properties through Interval International, and Aqua-Aston business brands. Further, it provides financing consumer purchases of vacation ownership products, and renting vacation ownership inventory. The company sells its upscale tier vacation ownership products primarily through a network of resort-based sales centers and off-site sales locations. The company was founded in 1984 and is headquartered in Orlando, Florida.
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.
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