Mar
27

Forbes: Yankees worth an estimated $2.5 billion

By

Forbes released their annual franchise valuations yesterday, and for the 17th straight year, the Yankees are the most valuable franchise in the game. At $2.5 billion, they are more valuable than any other franchise in American sports (Dallas Cowboys are second at $2.3 billion) and $500M more valuable than the Dodgers, who rank second among MLB clubs. The Red Sox are third at $1.5 billion while the Rays bring up the rear at $485M.

“Including the annual average of the $400 million upfront payment the team got for agreeing to sell  its controlling stake in the YES Network, to News Corp (now 21st Century Fox), the team raked in over $100 million in cable money last season, by far the most in baseball,” said the write-up. “Even after kicking in $95 million towards the league’s 34% local revenue sharing pool and their $64 million PILOT bond payments for Yankee Stadium last season, the Bronx Bombers led the league in revenue ($461 million).”

The Yankees lost nearly $60M in ticket sales last year and their revenue dropped by $10M overall, so the franchise’s value did not increase as much as it could have with a strong season. Forbes estimated the team’s value at $2.3 billion in 2013, $1.85 billion in 2012, $1.7 billion in 2011, and $1.6 billion in 2010. Bloomberg estimated the franchise’s value at $3.3 billion back in October, for what it’s worth.

Categories : Asides
  • TopChuckie

    So basically the Yankees could buy the Rays every year? Gives new meaning to “We own you!”, or at least literal meaning.

  • TWTR

    Yay George!

  • vicki

    tapped. out.

    • TWTR

      Have you checked the prices of mega-mansions, yachts, and private jets recently?

      • Need Pitching & Hitting

        Those shiny, new, solid gold urinals in the Legends Suites cost a fortune.

        • Jorge Steinbrenner

          The Lobel’s roast beef sandwiches now are lined in edible gold. They’re still soggy, however.

  • Mike

    We’re #1!

  • Wheels

    Wow, the value has increased nearly a billion dollars since 2010?

    • Wheels

      Must explain in part why cable bills keep going up.

      • TWTR

        The more TV viewership fragments, the more valuable it is to have a predictable and dedicated segment of the audience.

      • Joe

        Wheels…THANKS for the laugh…I NEEDED IT !!!!!!!!!!!!!

  • LarryM Fl

    Has Forbes sent a copy of this report to Derek Jeter for his viewing. Next year Derek will have some time to look into ownership of a franchise in MLB

    • TWTR

      As I have said before, the Yankees should offer him an opportunity to buy-in (at fair market value) after the season. It would suck if he had an interest in another team in his retirement.

  • Celerino Sanchez

    So can’t they find a few nickels to sign Stephen Drew to help solidify the infield? Must they be penny wise and pound foolish?

    • gageagainstthemachine

      Obviously, the Yankees not wanting Stephen Drew has nothing to do with money at this point. Can’t we face that fact and move on?

      • Need Pitching & Hitting

        Except it appears to have everything to do with money at this point.

    • Jorge Steinbrenner

      You’re late to that party.

  • OB/GYN Kenobi, bushmaster

    I wonder what the Bros. Stein’s “make me move” price is at this point. $3B? 5?

    • TopChuckie

      I would think much more than $3B. Didn’t the Dodgers sell for a good bit more than their Forbes’ worth? And I would think simply being the most valuable, makes you even more valuable, i.e. there’s only one #1 and the value of being #1 is worth more than the difference in value between #1 and #2.

      Just looked it up, when the Dodgers sold last March for $2B economists were clamoring it was twice what they were worth. A year later Forbes says they’ve already made up the difference.

      • Havok9120

        The Dodgers came with real estate and the potential of a new TV deal, however.

        • ALZ

          Yankees own their network though, that is more than the potential.

  • RetroRob

    Since it remains unknown what the Yankees truly make from their partial ownership in YES and what monies go directly to YES Global Enterprises, guessing revenue is just a guess.

    The only thing for certain is the Yankees are the most valuable franchise. It’s actual value, though, can’t be determined until it was for sale. If that happened today, they’d probably eclipse the Forbes estimate.

    Spend, Hal, spend!

    • ALZ

      It can be tough to estimate value. A huge portion of their value is in their brand, not their real estate, etc. People pay big money to wear the company logo around, and people pay tickets because it is the yankees.

  • Eselquetodolosabe

    And in money related news…. Miggy signs 10 yr, 300mm extension. O….. K, Jane, get me off of this crazy thing ! Thank god it’s all just Monopoly money ! And very soon, Trout to be offered part ownership of The Angels !