These 3 Stocks Could Win Big at the Paris Olympics

LikeFolio’s 2024 Paris Olympics Watchlist Is Here…

The Olympic Games are a powerful economic force. For the host city, the event boosts the local economy. For the sponsoring companies, it drives global merchandise sales. And for the viewers at home, it fosters a lasting interest in sports and fitness.

As consumers around the globe tune in, the companies associated with the Games have a unique opportunity to promote their products and build meaningful brand loyalty.

And the audience this year is massive.

Combined viewership of the U.S. Olympic Trials was up 58% from 2021 – before the games even kicked off.

Nearly 29 million people tuned into the Opening Ceremony to watch the athletes make their grand entrances down the River Seine.

An estimated 32.4 million viewers caught the first Saturday of competition… only to be topped the next day as Sunday’s sporting events drew an incredible 41.5 million.

More eyeballs watching live sports means more dollars spent – on ads, tourism, sports betting, and even the brands and products worn by athletes.

As investors, we’re tuned into the 2024 Paris Olympic Games, too – leveraging LikeFolio’s consumer insights to predict which stocks could be the winners of all this elevated exposure.

You got our early coverage on On Holding (ONON) in July. With 66 athletes donning its gear during the Paris Olympics, On’s brand is on full display – and shares of the niche running shoemaker have only pushed higher since then.

But there are so many other opportunities to uncover!

So, today, as the summer games heat up, we’re adding three more stocks to our Olympics Moneymaking Watchlist that could be primed for a special-event boost…

No. 1: Dress Like an Olympian with Ralph Lauren (RL)

If you were among the 29 million who watched the grand spectacle that was the Opening Ceremony, you understand why Ralph Lauren (RL) tops our list.

With flagbearers LeBron James and Coco Gauff at the helm, Team USA crossed the River Seine decked out in Ralph Lauren’s classic luxury wear. The global fashion powerhouse has provided the Team USA uniforms for every Olympics and Paralympics since 2008, gaining widespread international exposure along the way.

Beyond the Olympics, RL has done a great job of winning over a new generation of customers. When Zendaya sported Ralph Lauren at Wimbledon, she generated $3.6 million in media exposure for the brand.

Half of Gen Zers rely on social media influencers to identify luxury trends. They see a superstar like LeBron James sporting a Ralph Lauren blazer during the Olympics Opening Ceremony – and with a few clicks, they can have one of their own (for just $998).

RL is known for its high-quality, long-lasting products, and we see this sentiment reflected in LikeFolio data. Mentions show customers prefer RL products over other luxury brands like Lilly Pulitzer and Tommy Bahama (OXM) and Champion (HBI).

RL Consumer Happiness is strong at 78%. And that’s always a great indicator of long-term success.

No. 2: Bet on Gold with Flutter Entertainment (FLUT)

During the 2021 Tokyo Olympic Games, just 97 million Americans could participate in online sports betting. In 2024, more than 164 million Americans can play along.

Sports betting is now legal for a dominant 67% of the U.S. population. And as the world’s top online sports betting and iGaming company, Flutter Entertainment (FLUT) stands to benefit.

Flutter-owned FanDuel has gained significant popularity in the U.S., thanks to lucrative betting incentives.

In fact, web traffic data suggests a growing consumer preference for FanDuel over DraftKings (DKNG) and indicates higher levels of engagement with FanDuel’s site:

More consumers than ever are expected to wager on the 2024 games with notable strength in the U.S. as viewing hours shift more favorably compared to Tokyo.

And look, Americans have hefty gambling budgets: 79% of sports betters spend more than $50 on bets per month.

This spend could be unseasonably strong this summer as consumers wager on Olympic outcomes, serving as a major tailwind for FLUT and FanDuel.

No. 3: Book a Night in Paris with Airbnb (ABNB)

Olympic spectators looking for a place to stay in Paris are increasingly turning to Airbnb (ABNB) over the more traditional lodging options.

At the end of March, active listings in Paris were already up 40% for Airbnb, with nights booked in the region up 5x (+400%) on a year over year basis.

Many consumers prefer Airbnb to hotels because of unique accommodations, cost-effective options, flexibility, and rising interest in “local” experiences.

Airbnb claimed one of the top Olympic sponsorships this year through The Olympic Partner (TOP) program – and consumers are taking notice. Between the 2021 Tokyo Games and the 2024 Paris Games, Airbnb logged the biggest uptick in brand awareness of any other major sponsor:

Source: nielsen.com

Special events such as the Olympics are driving significant demand for Airbnb.

Over 500,000 guests rented a North American Airbnb during April’s solar eclipse, more than double the amount of people that stayed at an Airbnb located along the eclipse’s direct path a year ago. And Germany was on pace for nearly double the bookings for this summer’s Euro Cup compared to the previous year.

All told, the number of nights and experiences booked with ABNB has increased 131% since 2020.

And consumer searches for Airbnb are currently outperforming queries for all other booking competitors.

Watch for These Olympic Winners

Once you start looking for these brands during this year’s Olympics coverage, you won’t be able to unsee them.

Keep an eye out for the athletes donning On and Ralph Lauren, the friends and family playing along with FanDuel, and the Airbnb ads on regular rotation.

Enjoy the games this weekend. And if you missed our previous ONON Olympics coverage, make sure you get caught up here.

ONON is set to report earnings in just two weeks’ time, which means a quick-hit profit opportunity is just around the corner. Here’s how you can get in on the action.

Until next time,