2023-09-30
Beyond the Stadium: Stock Picks for Cricket Enthusiasts During ICC World Cup
Stock that can boom during ICC World Cup
Cricket in
India is not just a sport; it's a religion. Whenever Indian subcontinent host
major sporting event like cricket everyone from every nook and corner of the country excitement reaches its
pinnacle and follows it passionately. The International Cricket Council (ICC)
World Cup is one of the most prestigious tournaments in the cricketing world.
ICC World Cup with its grandeur and global appeal, has a unique way of uniting
people from diverse backgrounds under the common banner of cricket. It is not
only a celebration of cricket but also a significant opportunity for host
countries to showcase their prowess on the global stage.
The tournament will be held from 5th October,
2023 to 19th November, 2023 and played across 10 venues in
Hyderabad, Ahmedabad, Dharamsala, Delhi, Chennai, Lucknow, Pune, Bengaluru, Mumbai,
and Kolkata. The official partners of International
Cricket Council (ICC) World Cup are Bira91, Coca-Cola, Upstox, PhonePe,
Mahindra and Mahindra, Oppo, FTX, Nium, Nissan, DP World and Star Sports. ICC
Category Partners are Royal Stag, Jacob’s Creek, Dream11 and FanCraze.
In 2023,
India's hosting of the ICC World Cup has ignited tremendous enthusiasm among
cricket enthusiasts. This excitement creates a golden opportunity for
investors, particularly in sectors such as aviation, food and beverages,
electronics, railway, and hospitality (hotel industries). Numerous companies
are poised to reap the rewards of this global quadrennial event. Additionally,
businesses across India are set to profit significantly from the matches and
related festivities.
Stocks to
benefits from ICC World Cup
Aviation Sector
One sector that can benefit immensely from the upcoming ICC World Cup is
the Aviation Sectors. Air tickets around the match days are more costly than
the normal days, even if air tickets are booked in advanced. Here is the one
company from which investor can make benefits during the matches’ i.e.
TAAL Tech India Private Limited and First Airways Inc., Interglobe
Aviation Limited (IndiGo) & Spicejet.
Interglobe Aviation Limited
Interglobe Aviation Limited is also known as IndiGo, it offers air
transportation, pre-flight & post flight, cargo handling & many other
allied services at several Indian and International airports.
The company enjoys a giant market share of 63% (as of August
2023) in the Indian aviation sector. As of 29 September 2023, its shares were trading for Rs. 2,381.20 at the NSE. They have already
delivered one year return of 30.80%, and market cap is Rs 91,864 Cr and the upsurge can continue in the upcoming
months.
SpiceJet Ltd is an Indian low-cost
carrier headquartered in Gurgaon, Haryana, and India’s fastest-growing airline
company. This Indian airline provides its passengers with low fares, complimentary
meals, and onboard entertainment. SpiceJet Ltd. primarily emphasises providing
air transportation services for passengers and freight. As the second largest
player in the domestic aviation sector after Interglobe Aviation Ltd (Indigo). SpiceJet has received praise for its operations and customer support,
garnering several honours, including the title of ‘India's Top Low-Cost
Airline’ for eight years, from 2013 to 2020. The company holds a significant market share of approximately 14.93%. It
is also the leading operator of freight in India.
As of 29 September 2023, its shares were
trading for Rs. 36.00 each at
the BSE. They have already delivered one year return of 2.83%, and
market cap is Rs 2,462 Cr and the boom can continue in
the upcoming months.
TAAL Enterprises Limited - Tech India Private Limited
TAAL Enterprises Limited (TEL) was earlier a wholly owned subsidiary of
Taneja Aerospace and Aviation Limited (TAAL). The Company is holding Non
Scheduled Operators Permit (NSOP) and is engaged in Aircraft Charter Service
business. TAAL Enterprises is a well-known participant in the Indian aviation
sector and is ideally situated to profit from the country's rising demand for
air travel. The publicly listed Indian
corporation TAAL Enterprises Limited, formerly Trans-Asian Aviation Limited,
offers ground handling and associated services to airlines operating in India.
The business has a proven track record of success and has received praise for
the quality of its offerings and operations & services and business
practices.
As of 29 September 2023,
its shares were trading for Rs. 2,032.35 each at the BSE. They have already delivered one year return
of 32.68%, and market cap is Rs 633 Cr and the upsurge can continue in the upcoming
months.
Hotel
Sector
Like the aviation sector another sector which can give benefits
immensely from the upcoming ICC World Cup is hospitality sector. The cricket
tournament is going to help in 10 cities in India i.e. Hyderabad, Ahmedabad, Dharamsala, Delhi, Chennai, Lucknow, Pune,
Bengaluru, Mumbai and Kolkata, so numerous of fans are going to be multitude in
these cities.
Most of the hotels are going to be occupied during
October – November, besides the cricket tournament these months are also going
to witness the festive holidays. There are few hotels which can give immense
returns during ICC World Cup.
The
Indian Hotels Company
The
Indian Hotels Company, which provides management services to various hotel chains, including SeleQtions,
Vivanta, Chic, upscale hotels, Taj, The Gateway, Trails, and Ginger, is
expected to agitate a good profit.
As of 29 September 2023, its shares were
trading for Rs. 411.10 each at
the NSE. They have already delivered one year return of 25.76%, and market cap is Rs 58,392 Cr and the boom can continue in the upcoming months.
ITC Hotels Ltd.
ITC is an Indian hotel chain
and a subsidiary of the ITC Limited conglomerate. With a portfolio of more than
100 hotels, it ranks as the fifth-largest hotel chain in India. The majority of
its properties are operated under a franchise agreement within the prestigious
Luxury Collection brand of Marriott International.
As of 29 September 2023,
its shares were trading for Rs. 161 each at the BSE. The market cap is Rs 489 Cr and the upsurge can continue
in the upcoming months.
Chalets Hotels Ltd.
Chalet Hotels Limited, a K Raheja Corp Group
subsidiary, runs seven five-star hotels in Mumbai, Hyderabad, Bengaluru, and
Pune. Chalet Hotels Limited owns renowned brands like Marriott and Four Points
in Mumbai and Bengaluru. In the last few years, Chalet Hotels' stock price
increased significantly. As a result, it will stand to gain prominence from
next 3 to 4 upcoming months.
As of 29
September 2023, its shares were trading for Rs. 557.45 each at the NSE. They have already
delivered one year return of 63.91%,
and market cap is Rs. 11,449 Cr and the boom can continue
in the upcoming months.
Lemon tree hotels ltd
Lemon Tree
Hotels Limited owns hotels ranging from Super Luxury to Economy in more than
87+ locations throughout India. Lemon Tree
Hotels is a budget hotel chain with a presence in over 30 cities across India.
The chain offers comfortable and affordable accommodations for budget-conscious
travellers, with modern amenities and personalized service.
The share price of Lemon Tree has increased
significantly over the past few months. Therefore, it is a good opportunity for
returns. As of 29 September 2023,
its shares were trading for Rs. 113.75 each at the NSE. They have already delivered one year return of 33.04%, and market cap is Rs. 9,011 Cr and the upsurge can continue in the upcoming
months.
IRCTC
Not everyone can afford to
travel through flights in India. So, the only feasible option for them is
Indian Railways. It manages the fourth-largest railway network in the world. IRCTC is a mini-ratna
public-sector company that offers internet ticketing, catering, and tourism
services exclusively to passengers travelling via Indian Railways. Under the
tourism and ticketing business, it provides domestic holiday packages, payment
gateway, and e-wallet services. The company also offers budget accommodation
through Rail Yatri Niwas and BNR Hotels.
As of 29
September 2023, its shares were trading for Rs. 680.85 each at the NSE. These prices have already zoomed by more
than 9% in the last 30 days, one year return of 3.70%, and market cap is Rs. 54,468 Cr and the upsurge is expected in the next two
to four months.
Food and Beverages
Like the hotel industry, aviation sector or another sector is
expected to benefit from the upcoming ICC World Cup and the festive season is the
retail food industry in India. It’s a given that fans who would come to watch
their favourite teams lock horns for the cup will spend quite a lot on food.
Jubilant FoodWorks’
Jubilant Food Works’ Limited is India’s
largest foodservice company and is part of the Jubilant Bhartia Group. JFL is well-positioned to utilize growth
opportunities. It own brands like Dominos, Dunkin'
Donuts Restaurants, Popeyes, Ekdum, Hong’s
Kitchen etc, The stock is anticipated to break free from its recent
stagnation in the market, signaling an impending upward trend in anticipation
of the upcoming World Cup.
The company enjoys a giant market share of
63.2% (as of June 2023) in the Indian aviation sector. As of 29 September 2023, its shares were
trading for Rs. 534.45 each at
the NSE and market cap is Rs. 35,265 Cr and the upsurge is
expected in the upcoming months.
Varun Bevarages
Varun Beverages Limited (VBL) is an Indian company that produces, bottles and distributes
beverages. It is the second largest bottling
company of PepsiCo's distributor outside the US. Every corner weather
its in stadium or anywhere else while watching ICC World Cup people automatically
buys soft drinks. Participating in sporting events can significantly increase
beverage consumption and present valuable marketing prospects. Nevertheless,
the company's triumph hinges on its ability to effectively capitalize on these
opportunities while adeptly handling expenses and rival competition.
As of 29
September 2023, its shares were trading for Rs. 920.45 each at the NSE. These prices have already zoomed by more
than 14.48% in the last 90 days, and
61.05% in 1 Year and market cap is Rs. 1,19,579 Cr further upsurge is expected
in the next two to four months.
Zomato
Zomato, as an online food delivery
platform, may experience increased orders and restaurant partnerships during
the ICC World Cup, especially for home-viewing parties. They can leverage
marketing campaigns and special offers to attract more users.
As of 29
September 2023, its shares were trading for Rs. 100.75 each at the NSE. These prices have
already zoomed by more than 57.30%
in the 1 Year, and market cap is Rs. 86,689 Cr and
further upsurge is expected in the next two to four months.
Telecommunication Sector &
Electronics Sector
Not everybody can go to a
stadium to watch the match. Most people will watch it on TV, mobile. And that's
going to add the fuel in the sale of these electronics.
The 2023 World Cup has now commenced, and
it's expected to draw in millions of fans who will be streaming the matches
this year. Unlike previous editions, the match timings are more convenient for
viewers across the globe. Furthermore, due to its proximity to India, this
World Cup is also expected to attract a significant number of fans who will be
traveling to India to witness the matches live.
In preparation for this massive
event, Indian telecom giants Vodafone Idea, Jio, and Airtel have geared up to
provide exceptional services and connectivity options to ensure an
unforgettable World Cup experience for visiting fans or can be said it is more
fan-friendly. These telecom giants’ players have rolled out various plans and
services to cater to the needs of both local and international fans, to provide
top-notch guaranteeing seamless communication and connectivity throughout the
tournament. Whether you're streaming the games from afar or cheering for your
team in the stadiums, Vodafone Idea, Jio, and Bharti
Airtel are set to enhance your World Cup journey with their top-notch
telecom services.
Bharti Airtel
When it comes to network-upload speeds in stadium environments, Airtel
leads the way. Airtel takes the lead in providing the best experience with
voice apps on 5G networks. According to the report, Overall upload speeds on
Airtel's network are 5.2% higher than those of Jio, 13% higher than Vodafone
Idea, and a substantial 6.1 times higher than BSNL. In the realm of 5G,
Airtel's average upload speeds are 21.7% faster than Jio. OpenSignal also
evaluated the quality of live video streaming for users planning to watch
cricket matches on their mobile phones. Airtel emerges as the dominant operator
in most of the 40 cities surveyed.
As of 29 September 2023, its shares were trading for Rs. 924.25 each at the NSE. These prices have
already zoomed by more than 6.81% in
the last 30 days, and 14.29% in 1 Year and market cap is Rs. 5,28,248 Cr further upsurge is expected
in the next two to four months.
JIO
Jio's network download speeds at the stadiums are notably faster than
those of Bharti Airtel and Vodafone
Idea. A significant 25.5% faster than Airtel's 5G speed of 274.5 Mbps, as
per the report's findings. OpenSignal also evaluated the quality of live video
streaming for users planning to watch cricket matches on their mobile phones.
Jio emerges as the second operator in most top list of the 22 cities surveyed.
As of 29 September 2023, its shares were trading for Rs. 224.65 each at the NSE. These prices have
already zoomed by more than 9% in
the last 30 days, and market cap is Rs. 1,42,726 Cr further
upsurge is expected in the next two to four months.
Vodafone
Idea
Vodafone Idea is expected to deliver superior performance when it comes
to over-the-top (OTT) voice services, encompassing popular mobile voice apps
like WhatsApp, Skype, and Facebook Messenger. Regarding the voice app
experience, Vodafone Idea takes the lead with a score of 78.7, surpassing Bharti Airtel by half a point and Jio by 1.2 points. OpenSignal also evaluated the quality of live video streaming for users
planning to watch cricket matches on their mobile phones. Vodafone emerges as
the third operator in most top list of the 15 cities surveyed.
As of 29 September 2023, its shares were trading for Rs. 11.45 each at the NSE. These prices have
already zoomed by more than 27.22%
in the 1 Year, market cap is Rs. 86,689 Cr and
further upsurge is expected in the next two to four months.
Walt Disney Company
The ICC ODI World Cup warm-up matches will be live-streamed online for free on Disney Plus
Hotstar. The platform has the exclusive digital rights to showcase the tournament
on its mobile app and official website. However, free live streaming is
available only through the app. Viewers willing to watch the matches on a laptop/ PC or smart TV will have to pay for
the subscription.
As per the reports of Broadcast
Audience Research Council (BARC) in 2023, TV viewership
has increased dramatically, irrespective of the format, with the IPL 2023
setting new records with over 500 million viewers and a 34% higher TV rating
compared to 2022 and 124 million viewers, marking a 32% increase from the 2021
final in the World Test Championship Final achieved a historic reach.
Mahindra Group – Club
Mahindra
Club Mahindra is the
flagship brand of Mahindra Holidays & Resorts India Limited (MHRIL), an
Indian Hospitality company. It is a part of the Leisure and Hospitality sector
of the Mahindra Group and provides family holidays. Club Mahindra
operates over 110 resorts in India and overseas destinations and is affiliated
with over 4,500 RCI resorts. It is the world's largest vacation ownership brand
outside the United States (US). Mahindra & Mahindra Group said it will be
an associate sponsor with Star Sports for the ICC cricket world cup which
starts next month. “As the broadcast associate sponsor for Star Sports and
co-powered sponsor for Disney+Hotstar during the ICC Men's Cricket World Cup
2023, the auto major aims to reach vast audience across its key target markets,
solidifying its visibility throughout the cricketing season”, Mahindra &
Mahindra (M&M) Group said in a statement. And share price of Mahindra
Holidays and Resorts India Ltd.
As of 29 September 2023, its shares were trading for Rs. 407.60 each at the NSE. These prices have
already zoomed by more than 46.17% in the 1 Year, and market cap Rs
8,216 Cr further upsurge is expected in the next two to four months.
Conclude
The forthcoming Cricket World Cup in India presents a golden opportunity
for the host nation to finally put an end to their ICC trophy drought, which
has stretched over a decade. This event also promises potential significant
gains for investors in the mentioned stocks. As the ICC ODI Cricket World Cup
approaches, the cricket-crazy nation is on the brink of being immersed in the
grand celebration of this cricket extravaganza. With emotions running high
among the people of India, there's a fervent desire to witness the Indian Cricket
Team lift the coveted ICC trophy after nearly a decade-long wait.
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----- Team IFA