Reviewing Inspirato (NASDAQ:ISPO) & Cactus Acquisition Corp. 1 (NASDAQ:CCTS)

Cactus Acquisition Corp. 1 (NASDAQ:CCTS) and Inspirato (NASDAQ:ISPO) are both small-cap unclassified companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, institutional ownership, valuation, dividends and profitability.

Volatility & Risk

Cactus Acquisition Corp. 1 has a beta of 0.01, indicating that its share price is 99% less volatile than the S&P 500. Comparatively, Inspirato has a beta of -0.17, indicating that its share price is 117% less volatile than the S&P 500.

Institutional and Insider Ownership

86.4% of Cactus Acquisition Corp. 1 shares are owned by institutional investors. Comparatively, 39.5% of Inspirato shares are owned by institutional investors. 58.3% of Cactus Acquisition Corp. 1 shares are owned by insiders. Comparatively, 34.2% of Inspirato shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Cactus Acquisition Corp. 1 and Inspirato’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cactus Acquisition Corp. 1	N/A	N/A	N/A
Inspirato	-10.93%	N/A	-13.20%

Earnings & Valuation

This table compares Cactus Acquisition Corp. 1 and Inspirato”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cactus Acquisition Corp. 1	N/A	N/A	N/A	N/A	N/A
Inspirato	$329.10 million	0.08	-$51.76 million	($14.56)	-0.27

Cactus Acquisition Corp. 1 has higher earnings, but lower revenue than Inspirato.

Analyst Ratings

This is a summary of current ratings for Cactus Acquisition Corp. 1 and Inspirato, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cactus Acquisition Corp. 1	0	0	0	0	N/A
Inspirato	0	1	1	0	2.50

Inspirato has a consensus price target of $10.50, indicating a potential upside of 169.23%. Given Inspirato’s higher probable upside, analysts clearly believe Inspirato is more favorable than Cactus Acquisition Corp. 1.

Summary

Cactus Acquisition Corp. 1 beats Inspirato on 5 of the 8 factors compared between the two stocks.

About Cactus Acquisition Corp. 1

Cactus Acquisition Corp. 1 Limited does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses in the emerging technology sector. The company was incorporated in 2021 and is based in Cranbury, New Jersey.

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.