3 shares to profit from the world cup

These 3 shares could profit from the world cup.

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The soccer World Cup will have started by this time tomorrow. The Australian team is there in Russia, the first Socceroos game is at the handy time of 8pm on Saturday against France.

However, Socceroo fans won't be the only ones interested in the World Cup.

Several Australian businesses could have a bumper final two weeks to the end of the financial year thanks to the World Cup.

Here are three ideas:

Domino's Pizza Enterprises Ltd. (ASX: DMP)

The pizza mogul business has operations in many countries, including the soccer-mad countries of Belgium, the Netherlands, Germany and France.

I can't imagine wanting to leave the TV or spend time cooking dinner when there's a soccer match to watch, so Domino's is hoping for a strong finish to FY18.

Investors may still have concerns over Domino's valuation, but I think it looks okay for a long-term buy at 27x FY19's estimated earnings.

Collins Foods Ltd (ASX: CKF)

Collins is a large franchisee operator of KFC outlets in Australia and it also owns a few in the Netherlands and Germany.

It's quite possible that Collins will also receive a boost due to the World Cup with soccer fans wanting a nice bucket of fried chicken to eat whilst watching the games.

Collins is a slow-and-steady grower as it steadily adds more outlets to its total. The potential to add a large number of outlets in Europe is a tick in my book. It is also seeing if there is appetite for Taco Bell in Australia, it has opened the first one in Queensland.

It's currently trading at 19x FY17's earnings.

SKY Network Television Limited (ASX: SKT)

The New Zealand based business has exclusive coverage of the World Cup, which is a strong moat to have. With the New Zealand population growing strongly there could be a large audience of Kiwis watching the games this year, even if they are at bad viewing times.

It's currently trading with a grossed-up dividend yield of 8%.

Foolish takeaway

Hopefully the World Cup can provide a good boost to businesses and Socceroo fans alike. If I could only pick one of the above shares for an investment, it could be Collins because it's trading at a reasonably attractive valuation and the number of outlets is likely to be significantly higher in five years' time.

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Domino's Pizza Enterprises Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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