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Sporticast

Why NHL Valuations Have Nearly Doubled Since 2021

Oct 31, 2024
Kurt Badenhausen, a Sportico valuations expert, dives into the skyrocketing NHL franchise values, which have surged by 92% since 2021, averaging $1.8 billion. He reveals how Sun Belt teams, once seen as underperformers, have flipped the script to achieve remarkable success. The conversation also touches on the influence of the NHL's salary cap and compares the future potential of owning iconic teams like the Boston Bruins versus the Celtics. Innovations in sponsorship, like digital dasher boards, are also explored, highlighting exciting revenue opportunities.
35:54

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Quick takeaways

  • The NHL's average franchise value has skyrocketed to $1.8 billion, driven by growth in previously struggling Southern teams.
  • Media contracts and the NHL's salary cap structure are pivotal factors influencing financial stability and investor interest in franchises.

Deep dives

Rising NHL Franchise Valuations

The average valuation of NHL franchises has significantly increased, reaching $1.8 billion, which marks a 37% rise from the previous year and an astounding 92% increase since 2021. The top franchises, primarily the Maple Leafs at $3.66 billion and the Rangers, continue to dominate the financial landscape, although the spotlight is shifting towards the success of Southern teams. Teams that were once viewed as struggling or located in non-traditional markets are now thriving, with recent examples including major stakeholders in the Tampa Bay Lightning, which sold a majority stake at a valuation of $1.8 billion. This shift in valuation illustrates a broader acceptance of hockey in these regions and the potential for future growth.

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