Jordan Spieth’s British Open failure has wiped $140m off his main sponsor’s valuation 3,000 miles away in New York.
It seems ridiculous that one missed putt on a golf course could knock $140m off a company’s value, but this is exactly what happened when Jordan Spieth missed his birdie attempt on 18 at St. Andrews for a chance to win the Claret Jug.
Under Armour – Spieth’s sole clothing sponsor – saw its shares crash minutes after the 21 year-old failed to win his third straight major championship.
Spieth came agonisingly close to reaching golfing greatness. A win at The British Open would have catapulted him into sporting stardom. It would have meant the world could watch in anticipation as he tried to achieve the “impossible” – four straight majors in one year. As Spieth’s putt failed to drop, investors scurried to sell shares in Under Armour.
WHAT EXACTLY HAPPENED TO UNDER ARMOUR’S SHARE PRICE
Share prices are complex beasts and no single factor can be definitely identified as causing a “fluctuation.” On Monday, moments after Spieth failed to win The British Open, shares in Under Armour – which trades on the NYSE – fell from $89.46 six minutes before his missed putt to $88.79 six seconds after it.
While the fall of 67 cents won’t be a cause for concern to Under Armour – which is worth approximately $19bn – the drop still shows a decrease in valuation of around $140m.
Don’t worry, Under Armour have a lot to be thankful for Jordan Spieth. Since his meteoric rise to fame 12 months ago, their shares have risen by almost 50%.
