LIVE MARKETS-Brewery shares may get their best assist yet from FIFA world cup thirst

Reuters01-23
LIVE MARKETS-Brewery shares may get their best assist yet from FIFA world cup thirst

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BREWERY SHARES MAY GET THEIR BEST ASSIST YET FROM FIFA WORLD CUP THIRST

If beer could lace up boots and run down the wing, 2026 might be its breakout tournament. As the FIFA World Cup barrels toward the Americas, analysts at Bernstein think brewery stocks are about to enjoy something every striker dreams of, a perfect assist, delivered on a silver tap handle.

Historically, hosting a major football tournament has been a gift to the beer industry. Bernstein notes that beer consumption in host nations typically rises about 1.3 percentage points above underlying trends, as millions of fans pour into stadiums, pubs and living rooms for match‑day rituals. For the World Cup specifically, that boost tends to run even higher, thanks to more games, bigger crowds and broader global attention.

The 2026 tournament split across the United States, Mexico and Canada could amplify that effect. With FIFA expecting over 6 million international visitors, Bernstein argues that the event will drive a surge in on‑premise traffic, stadium spending and social‑viewing occasions across 16 host cities. Add in warmer summer months and a packed schedule, and brewers may find their peak season even peakier.

That's where brewery stocks come in. Bernstein highlights AB InBev ABI.BR as the best‑positioned winner, thanks to its exclusive tournament beer rights and its deep footprint in football‑mad markets like Brazil, Mexico, Colombia and Argentina, all competing in favorable time zones. Constellation Brands STZ.N and Molson Coors TAP.N also stand to benefit as bars, restaurants and venues ramp up ordering ahead of kickoff.

What's different this year is geography. For the first time since 2014, the World Cup will be played in time zones friendly to Latin America, the region with the world's highest football‑viewing penetration. Bernstein expects that alignment to unlock even more match‑day beer demand across the hemisphere.

(Rashika Singh)

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EARLIER ON LIVE MARKETS:

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