On Sunday, millions of people worldwide will tune in to watch the Kansas City Chiefs face off against the Philadelphia Eagles in the Super Bowl. Along with the game, comes the most anticipated commercials of the year.

These commercials have become almost as popular as the game itself. This year, companies will pay a record breaking $7 million for a 30 second advertisement! Does that mean these companies will be a good investment?

Unfortunately, a creative and/or memorable commercial doesn’t always lead to actual success for companies and investors. In reality, some businesses that have the most noteworthy ads turn out to be poor investments. Take a look at some companies from last year..

If you invested $10,000 in 2022 Super Bowl advertisers, this is how much you would have today:

  • FTX $0
  • Carvana $920
  • Vroom $1,750
  • Coinbase $3,620
  • DraftKings $7,450
  • Rocket Mortgage $7,840
  • Salesforce $8,190
  • GM $8,460
  • Meta $8,700

Reviewing last year’s results, show that some of the memorable commercials didn’t make for good investments. Instead, when investing focus on an approach that incorporates hundreds of the world’s best companies, not just the latest trends.

George Maroudas
Twitter @ChicagoAdvisor

Disclaimers / Sources:

Stock data from YCharts.

Super Bowls Commercial Costs from Bloomberg.

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