With the rising popularity of MMA and UFC events, many investors are looking for ways to capitalize on the growth of UFC. As a private company, investing directly in UFC stock is impossible. However, there are several indirect options for investors who want exposure to the success of Ultimate Fighting Championship. This article will explore 3 methods: investing in UFC’s parent company Endeavor, investing in sports betting stocks, and speculating on UFC memorabilia NFTs.
Invest in Endeavor Group Holdings, UFC’s parent company
The most straightforward way to invest in UFC is to buy stock in its parent company Endeavor Group Holdings (EDR). Endeavor owns 50% of UFC and went public in 2021. Although Endeavor has other business units like talent agency WME, UFC remains its most profitable segment, contributing over 80% of Endeavor’s earnings. As UFC continues its global expansion and lands more lucrative media deals, Endeavor’s revenues and stock price should benefit. Investors can buy Endeavor stock on the NYSE to gain exposure to UFC’s growth.
Invest in sports betting stocks
Another approach is to invest in sports betting and fantasy sports stocks. Companies like DraftKings, Penn National, and Flutter Entertainment derive a major portion of their revenues from UFC betting and fantasy contests. As fan engagement with UFC grows, these sports gambling platforms also stand to gain. Investors can buy shares of major sports betting stocks or ETFs like BETZ and BETZU to capitalize on the rising popularity of UFC betting.
Speculate on UFC NFT memorabilia
With the NFT market surging, collectible UFC memorabilia like digital video highlights and fighter avatars are attracting huge demand. For example, Autograph, co-founded by Tom Brady, sold $10M of NFTs featuring UFC stars like Conor McGregor. As UFC ramps up its NFT licensing efforts, speculating on the potential value appreciation of UFC NFT collectibles could be a high risk, high reward play on UFC’s growth.
Although no direct UFC stock investment is possible, buying Endeavor stock, sports betting stocks, and UFC NFT collectibles can provide exposure to UFC’s expanding revenue pie. Each method carries different risks and potential upsides for investors seeking to profit from the surging value of UFC.