Forbes: The Toronto Maple Leafs, worth $2.8 billion, have overtaken the New York Rangers to become hockey’s most expensive franchise.

[TheNumber4]

Will this be considered a theoretical championship?

 

[S E P H]

Forbes even mentioned that 2.8 billion for the Leafs is a conservative value as well. I think the Leafs could be worth 4.5-6 billion.

 

[The Hockey Tonk Man]

Imagine what the Leafs lineup would look like with no cap?

Still would find a way to shit the bed when it matters haha

 

[Gaylord Q Tinkledink]

What percentage of the Leafs can I get with 7.05 in Canadian tire money ?

 

[TheBeastCoast]

Also how are the Oilers the 7th most valuable franchise? Theres no way they’re that high

New arena boost.

 

[LPHabsFan]

These valuations are off by about half. If the Leafs were actually for sale good luck getting them under $6 billion. I’d bet the over on it. And it’s not just NHL teams. Basically all North American sports team valuations are way off from what I’ve seen.

I think this is because people don't seem to be able to separate the team from all of its other entities. If the Leafs were sold, it would most likely be as part of a major MLSE sale that also involves the Raptors, Argos, TFC and the building. Even all the sales that have happened recently I believe have incorporated the inclusion of the building as part of the sale price which inflates things as well.

My guess is that this valuation is simply the team itself.

 

[Love]

I mean not really. There are financial analysts whose main job is to figure this type of shit out so people can make sound investments.

The Commanders just sold for somewhere around $6 billion and they generate well over 2x as much revenue as the Maple Leafs do.

Yeah I guess someone could go out and buy them for $6 billion but it would be a very unwise financial decision.

IIRC the Senators were given a valuation of about $750-$800 mil before selling for $1B.

The Clippers were valued at $500 mil then sold for $2B (this was a while ago but still).

There are many examples and the pattern is always the same: sports franchises sell for more than their valuation. And these two examples are loser franchises with no history/name recognition. My guess, and it’s just a guess and it can’t be verified, is that a team like the Leafs, Cowboys, or Lakers would sell for significantly more than their valuations. Those franchises are one of one and they NEVER hit the market. Ever. You can buy many tech companies. You can buy yachts, houses, bitcoin, etc. but there’s only one of these types of franchises and they are never available. If you’re a mega rich billionaire and you love the Lakers, too bad. You’ll never own them. Why? Because they’ll never be for sale. But eventually one of these teams will be for sale. Thats not even a once in a lifetime opportunity, it’s a once in many lifetimes opportunity. The scarcity of these famous franchises would produce a ridiculous bidding war.

They sky rocketed after the new arena/downtown area

Also they made 281 million in revenue tied with the Leafs for most in the NHL

They’re overvalued due to having one player who is here today and gone tomorrow. Nothing against Edmonton at all it’s a great market and a nice place. But it simply doesn’t have the size or marketability of NY, Chicago, LA, Boston, Toronto, etc. Or other teams that are valued below them such as Philly, Vancouver, NYI, Washington, etc. Again just my opinion.

 

[Bounces R Way]

Honestly thought they already were the highest.

Good thing it’s in a league without a flat cap, where our ability to acquire assets is commensurate with our organizational value.

Oh…Right.

A fair and level playing field? In professional sports?!? The horror. The injustice.

 

[Jee]

damn, irrelevancy is costing a lot these days

 

[Chardo]

Original 6 team, biggest market in the country, guaranteed sellouts, huge fan base, unlimited budget, free agent magnet, yet still goes 50+ years without winning anything.

Potato, potahto.

 

[Grifter3511]

This is the Leafs Stanley Cup, right? There'll be a parade sometime over the next few weeks in TO?

 

[TheNumber4]

Kings at 4 surprised me. But it is L.A. after all.

I'd imagine McDavid is essentially the main (sole?) factor for the Oilers being so high at 7.

Dynasty Days have alot to do with it too. Gretzky and the Dynasty built a brand and following outside the Edmonton area that persists to this day. Places like Brazil are randomly Oilers fans I believe.

Also the passion of the local market. Which is the most passionate in all of Hockey. Don't forget that fact.

 

[Hockey4Lyfe]

IIRC the Senators were given a valuation of about $750-$800 mil before selling for $1B.

The Clippers were valued at $500 mil then sold for $2B (this was a while ago but still).

There are many examples and the pattern is always the same: sports franchises sell for more than their valuation. And these two examples are loser franchises with no history/name recognition. My guess, and it’s just a guess and it can’t be verified, is that a team like the Leafs, Cowboys, or Lakers would sell for significantly more than their valuations. Those franchises are one of one and they NEVER hit the market. Ever. You can buy many tech companies. You can buy yachts, houses, bitcoin, etc. but there’s only one of these types of franchises and they are never available. If you’re a mega rich billionaire and you love the Lakers, too bad. You’ll never own them. Why? Because they’ll never be for sale. But eventually one of these teams will be for sale. Thats not even a once in a lifetime opportunity, it’s a once in many lifetimes opportunity. The scarcity of these famous franchises would produce a ridiculous bidding war.


They’re overvalued due to having one player who is here today and gone tomorrow. Nothing against Edmonton at all it’s a great market and a nice place. But it simply doesn’t have the size or marketability of NY, Chicago, LA, Boston, Toronto, etc. Or other teams that are valued below them such as Philly, Vancouver, NYI, Washington, etc. Again just my opinion.

So what you just spent 3 paragraphs to explain I already summed it up for you. Someone having f*** you money and buying one of those teams doesn’t mean that’s how much they are worth and especially the rest of them.

Like I said, there’s financial analysis to all businesses when it comes to acquiring them. The Leafs don’t generate near enough revenue to garner a $6 billion valuation.

 

[Rob]

damn, irrelevancy is costing a lot these days

Holds true for Montreal as well.

 

[Jee]

Holds true for Montreal as well.

yes

 

[Breakers]

I mean not really. There are financial analysts whose main job is to figure this type of shit out so people can make sound investments.

The Commanders just sold for somewhere around $6 billion and they generate well over 2x as much revenue as the Maple Leafs do.

Yeah I guess someone could go out and buy them for $6 billion but it would be a very unwise financial decision.

Exactly

No shot the leafs would get $6 billion unless it was some crazed billionaire hockey fan.
Considering what storied NFL franchises just went for in the Broncos and Redskins

 

[Love]

I mean not really. There are financial analysts whose main job is to figure this type of shit out so people can make sound investments.

The Commanders just sold for somewhere around $6 billion and they generate well over 2x as much revenue as the Maple Leafs do.

Yeah I guess someone could go out and buy them for $6 billion but it would be a very unwise financial decision.

And I just gave two examples where these financial analysts were way off. Not sure how what you said has anything to do with what I said. You made a random claim backed up by nothing whereas I made an argument backed up by facts.

 

[Vukotal Recall]

They're worth 1967 billion dollars.

 

[La Bamba]

They’re overvalued due to having one player who is here today and gone tomorrow. Nothing against Edmonton at all it’s a great market and a nice place. But it simply doesn’t have the size or marketability of NY, Chicago, LA, Boston, Toronto, etc. Or other teams that are valued below them such as Philly, Vancouver, NYI, Washington, etc. Again just my opinion.

True that Edmonton is a smaller demographic market but it’s one of the league’s iconic franchises (just as much so with the original 6) due to Gretzky & Co. and now McDavid. The fan base is also very passionate and there’s a strong fan base outside Edmonton.


McDavid or not, I think the Oilers will remain a relevant franchise and profitable one for the foreseeable future. Also having one of the best arenas and surrounding district helps as well

 

[Kamus]

IIRC the Senators were given a valuation of about $750-$800 mil before selling for $1B.

The Clippers were valued at $500 mil then sold for $2B (this was a while ago but still).

There are many examples and the pattern is always the same: sports franchises sell for more than their valuation. And these two examples are loser franchises with no history/name recognition. My guess, and it’s just a guess and it can’t be verified, is that a team like the Leafs, Cowboys, or Lakers would sell for significantly more than their valuations. Those franchises are one of one and they NEVER hit the market. Ever. You can buy many tech companies. You can buy yachts, houses, bitcoin, etc. but there’s only one of these types of franchises and they are never available. If you’re a mega rich billionaire and you love the Lakers, too bad. You’ll never own them. Why? Because they’ll never be for sale. But eventually one of these teams will be for sale. Thats not even a once in a lifetime opportunity, it’s a once in many lifetimes opportunity. The scarcity of these famous franchises would produce a ridiculous bidding war.


They’re overvalued due to having one player who is here today and gone tomorrow. Nothing against Edmonton at all it’s a great market and a nice place. But it simply doesn’t have the size or marketability of NY, Chicago, LA, Boston, Toronto, etc. Or other teams that are valued below them such as Philly, Vancouver, NYI, Washington, etc. Again just my opinion.

It’s all about money. Like I said they made the most money in the nhl. If it was a bigger market they would be tied with the leafs in value, which they aren’t and shouldn’t be. It’s not just about the size, but how much the market supports the team through ticket sales, ticket prices, merchandise, tax payer arena, etc. which the Edmonton fan base always has and always will.

 

[Hockey4Lyfe]

And I just gave two examples where these financial analysts were way off. Not sure how what you said has anything to do with what I said. You made a random claim backed up by nothing whereas I made an argument backed up by facts.

I gave you an actual sell of a team going for what you said EVERY TEAM in North American sports would get….

Whenever teams sell for less than that. Who the hell has even been at the $6 billion mark before? You actually said every single team in NA would go for more when only one has gone for that in the history.

I’m not even going to bring up the financial aspect of it and how little revenue the Leafs generate compared to some of these teams. Simply because you are either ignoring it or it’s going over your head.

 

[Drytoast]

True that Edmonton is a smaller demographic market but it’s one of the league’s iconic franchises (just as much so with the original 6) due to Gretzky & Co. and now McDavid. The fan base is also very passionate and there’s a strong fan base outside Edmonton.


McDavid or not, I think the Oilers will remain a relevant franchise and profitable one for the foreseeable future. Also having one of the best arenas and surrounding district helps as well

lots of emigration from Ontario to Alberta right now. So that's going to help your cause.

 

[ITM]

A fair and level playing field? In professional sports?!? The horror. The injustice.

When your club is, in a particular way, underwriting the league, I think competition in expenditure is a just thing.

Let ingenuity work both ways as it did in the past.

The idea of equitable outcome through disproportionate support/value is null and void while different economic realities exist within the various league jurisdictions.

Moreover when they’re used as competitive selling points in free agency.

There are financial advantages to operating in Florida for example. That wasn’t the example of fair you had in mind, correct?

 

[swiftwin]

No surprise considering the Roger/Bell cabal owns the only two sports networks in Canada, so they get to blast propaganda about the hockey team they own.

 

[tom_servo]

Raise the banner.