Dallas Cowboys Estimated To Be Worth $4.2 Billion

According to Forbes (link below), the Dallas Cowboys have extended their reign as the globe's most valuable franchise.

According to Forbes, the Dallas Cowboys increased their value by 5% to $4.2 billion in 2015, thanks to records in both revenue ($700 million) and operating income ($300 million). The Cowboys, who play in the cavernous AT+T stadium in Arlington, Texas, benefit from fountains of cash that come via the NFL's national TV deals (in which the money is shared equally amongst the league's 32 teams), sponsorship deals, ticket sales, merchandising and more. Despite a number of scandals over the past couple of years, the NFL remains as popular as ever and the Dallas Cowboys have been the largest beneficiary.

Franchise values have also increased thanks to the league's decision to allow the St. Louis Rams to relocate to Los Angeles. This move had a profound impact on the value of the Rams franchise, as Forbes claims that the team has now doubled in value. According to Forbes, the Rams could be worth as much as $4 billion if Stan Kroenke is successful in getting his $3 billion mixed-use real estate project approved.

The move of the Rams to Los Angeles will have a meaningful impact on two other franchises as well, in all likelihood. The San Diego Chargers have the option to move to Los Angeles to share tenancy with the Los Angeles Rams, providing that they can't get a new stadium built in San Diego. Either way, the Chargers franchise wins.

The Oakland Raiders, on the other hand, could get a new stadium built in Oakland, move in with the Rams if the Chargers get their own stadium, or move to Las Vegas. In any scenario, the Raiders will see their franchise value increase dramatically.

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Television networks continue to throw ungodly amounts of money at the NFL, as the league continues to draw in tens of millions of viewers every week. These numbers have been bolstered in recent years thanks to the explosion of popularity in both daily and season long fantasy leagues, both of which result in many viewers continuing to watch games even after the outcome has been decided.

New stadiums have resulted in staggering amounts of new revenues as well, as teams are minting money thanks to luxury suites, season ticket fees and regular ticket sales.

Add in sponsorship deals, concession sales, merchandising and numerous other ancillary revenue streams, and you have a league that continues to increase in value with each passing year.

Source: Forbes.com - The NFL's Most Valuable 2016

Filed under: General Knowledge