5 stocks to consider during the 2014 World Cup

0 Comments|June 18, 2014

The opening games of the 2014 FIFA World Cup have been filled with excitement and one major upset as the Netherlands defeated Spain by a margin of 5-1 on June 13.

The event, which generates worldwide buzz every four years, has already juiced Brazil's stock market as investors attempt to play a bounce in the host country's economy.

In fact, the Brazilian Bovespa had risen 23 percent since the beginning of March heading into the kickoff of the World Cup. According to historical data, the gains may be justified.

The accountancy and finance recruiting firm Marks Sattin estimated that the World Cup will lift Brazil's economy by 4.1 percent over the next two years, largely on the back of an influx of tourism dollars.

A win for the Brazilian National Team could be icing on the cake for investors, as analysts from Goldman Sachs have calculated that the winning country's stock market tends to outperform the global average by around 3.5 percent in the month following the victory.

Not surprisingly, a host of multinational companies are also betting big on the World Cup, either through sponsorships, television rights, or an expected boost in sales.

Below is a look at five stocks that may benefit from the world's biggest soccer tournament:

Disney (NYSE: DIS)

This blue-chip company is a major stakeholder in the World Cup by way of its ownership of ESPN, which paid $100 million for the broadcasting rights to the 2010 and 2014 tournaments. In hindsight, this looks like a very savvy deal as the popularity of soccer is on the rise in the United States.

Viewership rose by 22 percent between the 2006 and 2010 World Cups and the American men's team will be looking to keep the buzz going in 2014. Furthermore, Fox has paid a whopping $425 million ...


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