Pyeongchang 2018: A Winter Olympics Stock Portfolio

The 2018 Olympic Games have yet to begin, but the winners are clear.

Dozens of team and committee sponsors are preparing their logos for the world’s biggest marketing opportunity, where they’ll wave their banners before billions of global viewers, heighten brand awareness and promote their association with revered athletes.

Sponsorship Boosts The Balance Sheet

The $100 million to $200 million sponsorship fee is seen to pay for itself.

The 2016 Rio Games catalyzed Nike Inc NKE’s 8-percent revenue run and 9-percent net profit increase, a swell in Dicks Sporting Goods Inc DKS sales and a pop in Ralph Lauren Corp RL stock.

"[The] USA starts doing well [and] you go out and you buy the hat or the sweatshirt," TD Ameritrade Chief Market Strategist JJ Kinahan told Benzinga during the Rio Games. "Overall most companies have done fairly well, but the initial beneficiaries of this have been the apparel companies."

The Olympic returns are well enough known that TD Ameritrade Holding Corp. AMTD secured secondary exposure in 2016 through an Olympic Sponsors Index.

The Team USA Players 

Team USA boasts a sterling squad of sponsors easily replicated in an All-American portfolio and through day-to-day product saturation.

Pull on your best Nikes, zip up that Columbia Sportswear Company COLM fleece and park yourself on the sofa with Comcast Corporation CMCSA’s NBC and a well-balanced snack pack of Kellogg Company K, J M Smucker Co SJM and Hershey Co HSY.

Or don your best Ralph Lauren, board a United Continental Holdings Inc UAL flight and fill in Team USA’s Pyeongchang fan section.

Fill the voids with supplemental services at Dicks, USG Corporation USG and Hartford Financial Services Group Inc HIG.

The Olympics Committee

If you approach the Games with a globalist’s glow, build a universal team of Alibaba Group Holding Ltd BABA, The Coca-Cola Co KO, DowDuPont Inc DWDP, Intel Corporation INTC, Procter & Gamble Co PG, Toyota Motor Corp (ADR) TM and Visa Inc V — worldwide and long-term Olympic partners. 

Or take a look at Under Armour Inc UAA, an official sponsor of Team Canada, as well as the partners, sponsors and supporters of Pyeongchang 2018 — including McDonald’s Corporation MCD, KT Corp (ADR) KT, VF Corp VFC’s The North Face, POSCO (ADR) PKX, Hanwha Q Cells Co Ltd -ADR HQCL and Kelly Services, Inc. KELYA.

Related Links:

This Small Olympic Outfitter Outperformed Nike And Under Armour

McDonald's No Longer A Premier Olympic Sponsor

Why Olympic TV Ratings Were So Poor And What NBC Got Wrong In Rio

A torchbearer holds the PyeongChang 2018 Winter Olympics torch Feb. 5, 2018 in Samcheok, South Korea. Photo courtesy of the International Olympic Committee.