(July 17): Adidas AG is set to score a decisive marketing win over Nike Inc at this weekend’s World Cup final and the optimism is already reflected in the German sportswear maker’s stock.
With finalists Spain and Argentina both wearing Adidas kits when they take the field on Sunday, the company is guaranteed prime on-pitch exposure, irrespective of which team lifts the trophy. A win for Lionel Messi’s Argentina may bring an additional windfall, should it fuel a fresh wave of demand for the team’s iconic blue-and-white jerseys.
Investors have already taken note. Adidas shares have risen about 6% since the World Cup began on June 11, reaching eight-month highs last week. Nike, by contrast, is up just 1.4% as its teams, including Brazil and France, failed to reach the final.
Akshay Gupta at HSBC Global Investment Research expects Adidas shares to extend those gains. He recently raised his price target to €210, roughly 16% above current levels.
“Adidas seems to be capitalising well on the ongoing 2026 Fifa World Cup,” Gupta told clients, pointing to a 16% year-on-year jump in foot traffic to Adidas stores in the US during the first week of the World Cup, while Nike outlets saw a decline.
See also: GFL Environmental weighs take-private amid interest from buyout firms — Bloomberg
Sunday’s final — expected to draw hundreds of millions of viewers worldwide — will set the stage for Adidas’ earnings report on July 30. Gupta forecasts the company to post its fastest sales growth since 2024, with the World Cup contributing about €300 million, potentially allowing management to boost full-year guidance.
Morgan Stanley analysts led by Edouard Aubin are also advising clients to buy Adidas stock, describing it as the “clear World Cup winner”. They predict a bumper quarter, raising their earnings estimates and lifting their share-price target to €215.
As for Nike, the World Cup adds to a tough year. The stock is down more than 30% so far in 2026, on track for its fifth consecutive annual decline. Its June 30 results came with a cautious outlook and warnings about weak consumer confidence.
See also: Czech billionaire Strnad mulls buying 14% stake in Pirelli — Bloomberg
Share valuations also favour Adidas. The stock trades at about 15 times forward earnings, compared with 25 times at Nike.
Aubin calls Adidas valuations compelling. That’s especially so given the “halo impact” of the World Cup, which could finally help Adidas gain traction in the US, a market it’s historically struggled to crack.
Uploaded by Felyx Teoh
