Team Values of the Major Baseball Teams

Thanks to an increase in sports media rights, baseball is now more profitable than it has ever been. With Fox signing a new deal with the MLB which is to be of effect from 2022, there is no doubt that baseball will continue increasing in value.

Baseball Numbers

The 2018 season showed a 38% increase in income with an operating revenue of $40 million. The revenue further increased by 4.8% in the 2019 season with player costs remaining the same. The lack of an increase in players’ costs is partly because of the collective bargaining agreement that is to run until 2021, from 2017.

Analytics Per Team

The Boston Red Sox had the highest payroll in the previous year. This however attracted a $12 million penalty for going beyond the competitive balance tax minimum. The Los Angeles Dodgers were able to make it to the World series while maintaining a payroll under the tax threshold which they have exceeded severally before. The Yankees were also able to win 100 goals while staying under the threshold for once since 2002.

MLB Rankings

The Yankees are currently the most valuable team at $4.6 billion, having a local revenue record of around $ 550 million last year. This is the most outstanding revenue record in the MLB and has exceeded the bottom six combined by a significant amount. The Yankees are followed by the Dodgers, Boston Red Sox, Chicago Cubs, and the San Francisco Giants, who are all above $3 billion in values.

Conclusion

A lot of the money collected by baseball teams is from ticketing. Great media deals also hold a significant percentage in income sources for the game as well as merchandising. If the increase in value holds as predicted, then baseball might soon catch up with basketball and this may even happen in 2020.