Diageo Shares Move 10% off Lows, Partners with FIFA for 2026 World Cup

Diageo shares (LON: DGE) have come under increasing pressure this year, losing 14% YTD, and extending the 12 month decline to more than 22%. A shift in alcohol consumption has seen sentiment turn sour, with the stock hitting 5 year lows in April, before recapturing 10% over the past month.

News that FIFA and Diageo have announced a partnership ahead of the 2026 FIFA World Cup could be seen as a boost to the company's prospects. Diageo has been named the Official Spirits Supporter in North, Central, and South America for the event. This marks the first collaboration between the renowned spirits company and FIFA for a World Cup event held in Canada, Mexico, and the United States.

As an Official Tournament Supporter, Diageo will feature its distinguished brands, including Casamigos, Don Julio tequila, Buchanan’s, Johnnie Walker Scotch whisky, and Smirnoff vodka. The company aims to engage fans through a variety of activations and on-the-ground initiatives across each of the 16 Host Cities in the Americas. Additionally, Diageo plans to promote responsible drinking with retail campaigns that focus on promoting community celebration.

Both companies have expressed excitement regarding the partnership. Cristina Diezhandino, Chief Marketing Officer at Diageo, highlighted the significance of deepening relationships with sports events, particularly the FIFA World Cup. Romy Gaid, Chief Business Officer at FIFA, also expressed enthusiasm, noting the scale of the upcoming event as the biggest football celebration.

Diageo is recognised as a global leader in the beverage alcohol industry. It holds a strong market presence with brands sold in nearly 180 countries and is listed on both the London and New York Stock Exchanges. This partnership further strengthens its global footprint by associating with one of the most widely viewed sporting events.