tvbadminThe Olympics have a magical way of bringing Canadians together, whether it’s cheering for figure skaters or holding our breath during the luge. Even the most casual sports fans find themselves glued to the TV, captivated by events they might not watch again for another four years. With the Olympic spirit soaring, why not channel that excitement into investments that support our athletes and their Olympic dreams?
If you’re passionate about supporting Canadian athletes, there are ways to align your investment portfolio with your love for sports. Just as coffee enthusiasts might invest in Tim Hortons or tech lovers in Telus, sports fans can back companies that play a vital role in Canadian athletics. Here are three standout stocks that not only have significant operations in the sports sector but also directly contribute to helping our athletes reach the Olympics.
1. Dorel Industries: Cycling to Victory
Dorel Industries (TSX:DII.B) may be known for its diverse range of products, from baby seats to bunk beds, but it’s their recreational division that truly stands out for sports enthusiasts. This division, which includes iconic brands like Schwinn, Mongoose, and Cannondale, is a major player in the cycling world. Cannondale, in particular, is a top choice for serious cyclists, including Canada’s elite athletes who use these bikes for training and competition.
In 2013, Dorel’s recreational products division generated $673 million in revenue, highlighting the strength and popularity of their offerings. The company is also expanding into new markets, such as Latin America, through a 70% stake in one of Brazil’s largest bicycle manufacturers. As Dorel continues to grow and even buy back shares, it offers investors a stable dividend of over 3%, making it an attractive option for those looking to invest in Canadian sports.
2. Canadian Tire: The Sports Gear Giant
Canadian Tire (TSX:CTC.A) is a household name in Canada, especially after its acquisition of the Forzani Group in 2011 for $771 million. This move brought Sport Chek, the country’s largest sporting goods retailer, under its umbrella. Sport Chek’s coast-to-coast presence and dominant market position make it the go-to place for Canadians to buy sports equipment and apparel.
Beyond retail, Canadian Tire has a long-standing tradition of supporting youth sports, making it a cornerstone in the development of future Canadian Olympians. Many Canadians have fond memories of getting their first pair of skates or hockey stick at a Canadian Tire store. Investing in Canadian Tire not only taps into a robust retail sector but also supports the growth of Canadian sports culture, making it a win-win for patriotic investors.
3. Hudson’s Bay Company: Dressing Canadian Pride
When it comes to official Olympic gear, Hudson’s Bay Company (TSX:HBC) has been the traditional retailer for Canadians looking to show their support. From the iconic red mittens to the stylish apparel worn by athletes during opening ceremonies and medal presentations, HBC’s exclusive offerings are a hit with fans. While Sport Chek has joined the fray, HBC remains the primary source for these coveted items.
HBC’s ability to capture the spirit of Canadian pride through fashion has not only boosted sales but also the company’s appeal as an investment. The acquisition of Saks for $2.9 billion marks a significant growth plan, promising future expansion and profitability. Investors looking for a blend of Canadian heritage and growth potential should consider HBC as a valuable addition to their portfolios.
Investing in these companies not only offers potential financial returns but also supports Canada’s athletes as they strive for Olympic glory. By aligning your investments with your passions, you can play a part in helping future generations of Canadian athletes achieve their dreams on the world stage. Whether it’s through cycling, sports gear, or Olympic apparel, these investments offer a unique way to celebrate and support Canada’s Olympic journey.
