Which one wins more World Cups in the stock market in this century?

Every four years the world witnesses a sporting event like few others: the representative teams of 32 nations compete in the Soccer World Cup. We are talking about an event of global relevance, which is followed by millions and which usually leaves a mark in history with unforgettable feats.

Simultaneously with what happens on the fields, another competition takes place in very different spaces, but no less disputed for that. The large companies that participate in the sportswear business see their sales grow, pushed by the many fans of this sport.

As business goes on, shareholders try to reflect the good or disappointing financial performances of companies on the stock market. As if they were technical directors, they put them in the field or send them to the bench, taking note of their movements on the stock market.

the contenders

In soccer there are teams that are always considered strong candidates for the throne; Brazil, France, Germany and Argentina are among the most popular by historical weight. The main companies in the sector due to their weight in the market and volume of business are Nike, Adidas y Pumain that order.

This tournament might seem uneven. Nike’s revenue exceeds that of Adidas and Puma combined, according to a collection of reporting data by Statista. But on the field the value of the team does not count and in the bag the championship is for performance.

When Puma ran more

The 2002 World Cup will be remembered as the first on the Asian continent and of the century. Brazil, sponsored by Nike, took it, but Puma did it in the stock field, year after year. The company almost doubled its value on the stock market and also won in Germany 2006, with a jump of 20 percent.

In the long-term race, Puma also took the victory by obtaining the best performances in the two four-year periods between the 1998 French Cup and the 2006 German Cup. But after this winning streak their drive lost steam and bad results came.

The Adidas World Cup and the reign of Nike

The World Cup in South Africa went to Adidas, which climbed almost 30% in the year, marginally above what Nike grew, while Puma barely registered an advance. The four-year period was for the US, which grew more than 70%; Puma was no longer competing and fell 16 percent.

The Nike stock was also a better investment vehicle in 2014 and 2018, and in the four-year period between South Africa and Brazil. The period from Brazil to Russia was for Adidas action. In all cases, year and four-year period, Puma was far behind its rivals in the sector.

Uniformed in red heading to Qatar

The last of the periods is the one that is not over yet, possibly the most difficult to face for the three companies: the road to Qatar. On the eve of the first whistle, the color red predominates in the uniforms. In this year Nike goes back 44.57%; Puma, 56.27% and Adidas, almost 60 percent.

In the four-year period, Nike wins 24.62% and is the only one among the three that has not lost ground from one World Cup to another so far this century. Puma shares are still up 10.09% compared to their level in Russia. Adidas shares fall 44.08 percent.

jose.rivera@eleconomista.mx