The 2021 NCAA Men’s Basketball Tournament, also known as March Madness or Big Dance, will kick off this week. The college basketball tournament in Indiana, where 67 games will be played for 19 days, will start on Thursday and the final match will be played on Monday, April 5th.
Last year’s NCAA tournament was one of the first major sports events in the USA to be canceled due to the corona virus outbreak. Therefore, this year’s tournament may become more popular than ever due to the accumulated demand for the organization.
Let’s take a closer look at the three shares that could be among the most important winners with the start of the “March Madness”.
This year’s tournament is expected to be the highest betting sports event in history. According to estimates by industry group PlayUSA, the 2021 NCAA tournament could generate between $ 1 and $ 1.5 billion through legal betting.
Unlike other organizations popular with bettors such as the Super Bowl or the World Cup final, the NCAA tournament has the advantage of having multiple matches to bet on.
DKNG stock closed yesterday at $ 67.14, after reaching a record high of $ 74.07 late last week. At current levels, DraftKings has a market value of $ 26.6 billion and is the most valuable company in the sports betting industry.
With the number of bets placed in this year’s NCAA tournament expected to reach new records, DraftKings stock is in a good position to continue its rise in the coming days and weeks.
2. Coca-Cola (IS:)
Coca-Cola is an official NCAA ‘Corporate Champion’ partner, meaning its in-theater and television spots are regularly broadcast throughout the tournament.
This is a good step for the beverage giant to provide positive consumer awareness and popularity.
It should also be noted that Coca-Cola also owns Powerade, the official sports drink of the tournament. As in previous years, Powerade offers consumers special tournament-specific beverages with numbers between 0-99.
The Atlanta, Georgia-based soft drink maker made a rough start to 2021 as the COVID-19 outbreak negatively impacted sales of Coca-Cola products worldwide, and has lost nearly 7% since the start of the year. The KO stock closed yesterday at $ 51.22, giving the company a market value of $ 223 billion.
In addition to the backwind that the tournament will bring, Coca-Cola is also expected to recover as the impact of the outbreak subsides and restaurants and other entertainment businesses begin to reopen in the coming weeks.
CBS, which has been broadcasting the NCAA tournament since 1982, will broadcast both the Final Four matches to be held on the last weekend of the tournament calendar and the final match that is expected to attract approximately 15 million viewers.
Therefore, the media company will be able to earn very serious advertising revenue throughout the tournament broadcast. The company can sometimes generate over $ 1.5 million for a 30-second ad during tournament streams.
ViacomCBS made a great start to the year as investors flocked to the stock, with expectations for the company’s new streaming service, Paramount +, and has gained roughly 158% in 2021 so far.
VIAC stock closed yesterday at $ 96.24, just below its historic high of $ 101.85 at the beginning of the week. The New York City-based media group has a market value of $ 54.2 billion.
If this year’s NCAA tournament could indeed attract an extraordinary number of viewers, VIAC will be one of the biggest winners out of it.