The sale of the Denver Broncos this month for $4.65 billion was a turning point for the NFL, not just for the record dollar amount, but for a key financial metric of the transaction, (the multiple of enterprise value to revenue). At 8.8, it represented a significant increase over the previous two NFL team sales.
The Broncos were purchased by 77-year-old Walmart heir Rob Walton. who has a personal fortune valued by Forbes at 58.7 billion, along with his daughter Carrie and her husband, Greg Penner.
The deal was a 24% premium to the value FORBES pegged for the team a year ago, something that makes average team valuations in the league jump 28% this year to $4.47 billion. Investors have realized that the league’s revenue growth It is important. (31% over the last five years), the salary cap (48% of revenue), and profitability (average operating revenue of $146 million in 2021)
In 2018, David Tepper bought the Carolina Panthers for $2.28 billion.. Four years earlier, Terry Pegula invested $1.4 billion for the Buffalo Bills. For the past few years, among the four major North American sports leagues, only NBA teams have changed hands in multiples greater than seven.
Joe Tsai paid $3.2 billion, or 10.5 times revenue, for the Brooklyn Nets in 2018; Tilman Fertitta acquired the Houston Rockets for $2 billion, 7.4 times revenue, in 2017; and Steve Ballmer nabbed the Los Angeles Clippers for $2 billion, a business multiple of 13.7, in 2014.
Although the 32 NFL teams share just over 70% of football-related revenuethat does not mean that everyone receives the same amount of money. The teams that can take advantage of their brands and stadiums to increase revenue from luxury suites, sponsorships, hospitality and non-NFL events will typically be worth more.
Dallas Cowboys, worth $8 billion, sit atop the league for the 14th straight year and they are the most valuable team in all of sports. The Cowboys are also the first team to generate more than $1 billion in revenue, thanks in large part to a series of endorsements, including a 10-year, $200 million deal with Molson Coors. In 2021, the Cowboys grossed more than $220 million in advertising and sponsorship revenue at the stadium, more than double any other team.
Four teams, the Chicago Bears, the Buffalo Bills, the Vegas Raiders and the Cleveland Browns, increased their value by more than 40%.
The Bears are the only NFL team in the third-largest market in the country, a big draw for a buyer looking to get into the league. Also, the Bears are in the process of getting a new stadium in suburban Arlington Heights or getting Soldier Field renovated. Both scenarios would add a lot of money to the team’s coffers.
The Bills are in the second smallest market in the NFL.but they will get a new stadium worth 1.4 billion dollars financed with public money.
The Raiders are a hot ticket in Sin City. In 2021, they played their first game at Allegiant Stadium in front of fans and they generated the most gross ticket revenue ($78 million) in the league. The team has the highest demand for tickets, according to TicketIQ in the secondary market.
The Browns have one of the highest direct sales rates in the NFL.both for tickets and seats premium (suites and club seats) and have increased ticket prices not premium almost 60% in the last four years.
Top 32 Highest Paid NFL Teams 2022
1. Dallas Cowboys
Worth: 8 billion dollars.
Owner: Jerry Jones.
two. New England Patriots
Worth: 6.4 billion dollars.
Owner: Robert Kraft.
3. Los Angeles Rams
Worth: 6.2 billion dollars.
Owner: E. Stanley Kroenke.
Four. New andOrk Giants
Worth: 6 billion dollars.
Owners: John Mara and Steven Tisch.
5. Chicago Bears
Worth: 5.8 billion dollars.
Owners: The McCaskey family.
6. Washington Commanders
Worth: 5.6 billion dollars.
Owner: Daniel Snyder.
7. New York Jets
Worth: 5.4 billion dollars.
Owners: The Johnson family.
8. San Francisco 49ers
Worth: 5.2 billion dollars.
Owners: Denise DeBartolo York and John York.
9. las vegas raiders
Worth: 5.1 billion dollars.
Owner: Mark Davis.
10. Philadelphia Eagles
Worth: 4.9 billion dollars.
Owner: Jeffrey Lurie.
eleven. Houston Texans
Worth: 4.7 billion dollars.
Owner: Janice McNair.
12. Denver Broncos
Worth: 4.65 billion dollars.
Owner: Rob Walton.
13. Miami Dolphins
Worth: 4.6 billion dollars.
Owner: Stephen Ross.
14. Seattle Seahawks
Worth: 4.5 billion dollars.
Owner: Paul G. Allen Trust.
fifteen. Green Bay Packers
Worth: 4.25 billion dollars.
Owners: different shareholders.
16. Atlanta Falcons
Worth: 4 billion dollars.
Owner: Arthur Blank.
17. Pittsburgh Steelers
Worth: 3.975 billion dollars.
Owners: Arthur Rooney II and Daniel Rooney Trust.
18. minnesota vikings
Worth: 3.935 billion dollars.
Owners: The Wilf family.
19. Baltimore Ravens
Worth: 3.9 billion dollars.
Owner: Stephen Bisciotti.
twenty. Los Angeles Chargers
Worth: 3.875 billion dollars.
Owner: Dean Spanos.
twenty-one. cleveland brows
Worth: 3.85 billion dollars.
Owners: Dee and Jimmy Haslam.
22. Indianapolis Colts
Worth: 3.8 billion dollars.
Owner: James Irsay.
23. Kansas City Chiefs
Worth: 3.7 billion dollars.
Owners: The Hunt family.
24. Tampa Bay Buccaneers
Worth: 3.675 billion dollars.
Owners: Glazer family.
25. Carolina Panthers
Worth: 3.6 billion dollars.
Owner: David Tepper.
26. New Orleans Saints
Worth: 3.575 billion dollars.
Owner: Gayle Benson.
27. Tennessee Titans
Worth: 3.5 billion dollars.
Owner: Amy AdamsStrunk.
28. jacksonville jaguars
Worth: 3.475 billion dollars.
Owner: Shahid Khan.
29. buffalo bills
Worth: 3.4 billion dollars.
Owners: Terry and Kim Pegula.
30. arizona cardinals
Worth: 3.27 billion dollars.
Owners: Michael Bidwil.
31. Detroit Lions
Worth: 3.05 billion dollars.
Owners: The William Clay Ford family.
32. Cincinnati Bengals
Worth: 3 billion dollars.
Owners: Michael Brown.
Methodology: Revenue and operating income (earnings before interest, taxes, depreciation and amortization) figures are for the 2021 season. Sources include team executives, sports bankers and league consultants, public documents such as stadium leases and reports from credit rating.
*You can read the full list here.
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Forbes List | The Highest Paid NFL Teams 2022 – Forbes UK