- Date : 07/09/2023
- Read: 3 mins
ICC Cricket World Cup 2023 can bring the best out of these food and beverage and travel-related stocks.
Just as the festive season is characterised by high consumer spending, big sporting events are eagerly awaited by many brands. American football’s grand finale, Superbowl is said to have benefitted stocks of Pepsico, Coca Cola and Microsoft. The FIFA World Cup last year is said to have boosted stocks of EA, Google, Meta, Amazon, etc.
In the Indian context, the ICC Cricket World Cup brings a carnival-like atmosphere to the country that influences certain stocks. Hotel bookings, travel and food are the common areas where cricket fans are likely to spend.
A sporting spectacle like the ICC Cricket World Cup 2023 is sure to create specific demands in the market
Food, drinks and travel-related stocks can benefit from the increase in spending by fans and event-involved people
IHC, Jubilant Foodworks, IRCTC, United Breweries and Interglobe Aviation are prominent prospects in this space
Stocks Rising High With Cricket Fever
The Cricket World Cup will increase celebratory spending on food and beverages. Many fans will travel to match venues which will elevate travel and hospitality spending. Based on this, here are the potential beneficiaries of the cricket carnival.
Indian Hotels – Tata’s hospitality business is represented by brands like Taj, Vivanta, The Gateway, SeleQtions, Trails and Ginger. Presently IHC is trading at Rs 425, a 38% increase in a year, and 239% in five years.
Jubilant Foodworks – Jubilant owns brands like Dominos, Dunkin Donuts, Popeyes, Ekdum, etc. The stock is expected to end a stagnant spell in the market with an upside ahead of the World Cup. The stock is presently trading at Rs 540, a 12% fall in one year, and 91% growth in five years.
Interglobe Aviation – With a market share of over 60%, Indigo is expected to see high income during the World Cup. The stock is priced currently at Rs 2,450, a 24% growth during the year and a 168% rise in five years.
IRCTC – Internet ticket and hotel booking, catering, holiday packages, budget accommodation – IRCTC has multiple revenue streams in the tourism and hospitality segment. All of these streams can see a surge during the competition. IRCTC shares are priced at Rs 708, which is the same as last year but is a five-year return of 354%.
United Breweries – You can expect a bull run in the beer market during the World Cup. Being the king of good times that they are. The stock price at present is Rs 1600, which is a 3.9% fall in one year, and a 20.7% increase in five years.
While on one side you would hope that India clinches the winner’s podium this time, let us also hope that your investment goes on a winning streak too!
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Disclaimer: This article is intended for general information purposes only and should not be construed as insurance or investment or tax or legal advice. You should separately obtain independent advice when making decisions in these areas.