The Dodgers hold the record for the most expensive contract in baseball history. They gave out $215 million to Matt Kemp in 2012 which was eventually reduced to just over $100m. But, they have also handed out contracts worth hundreds of millions to players such as Yasiel Puig ($42m), Zack Greinke (around $35.25m), and Kenley Jansen ($34m).
The average salary of a Major League Baseball player is currently around $400k. The highest paid player in 2018, Giancarlo Stanton received a $325m deal but that included signing on bonuses of almost half a billion dollars. So the big question is – how much does a Dodger cost?
To find out we need to take a look at the team’s current payroll.
The Dodger’s Current Value
When you buy a baseball card from a hobby shop, you expect to get a certain amount of money back. You might be able to sell the card to someone else for more than what you paid, but you won’t always make that kind of profit.
If you’re buying the Dodgers’ cards online, however, you’ll need to know how much they are actually worth. This is especially true when you consider all of the different versions of the team’s cards. So let’s take a look at the most popular version of this product: the 1952 Topps.
This was the first year that Topps produced their own set of cards, and it sold for $1.50. However, the price has since increased significantly. For example, in 2011, the 1951 Bowman Chrome card sold for just under $2,000 on eBay.
So what does that mean? Well, if you bought a box of these cards today, you’d probably end up paying around $100 for them.
The Dodger’s Future Value
When you look at Dodger’s current record, you might be surprised to learn that their future value is actually higher than you thought. So how can this happen? Well, the main reason why the team’s future value is so high is because of the fact that the players on the team have a lot of potentials.
If you take a closer look at the roster, you’ll notice that there are many young, talented, and promising prospects. This means that the organization has a lot of potentials to improve in the near future. If you want to know more about the Dodgers’ future value, then you should check out the article below.
In addition to the fact that the team has a lot of talent, another factor that contributes to the high future value is the amount of money that the team will make.
The team is expected to earn $1 billion in revenue next year. This is an increase of $200 million from last season. That’s the reason why the franchise’s future value is so high.
Calculate the Dodger’s Net Present Value
If you have a baseball team, you might be wondering how much money you could make from selling tickets. You should also know that the owner of the Dodgers is trying to sell the team. So, you need to figure out whether the sale would actually happen.
When you want to calculate the net present value (NPV) of a particular investment, you first need to understand the NPV formula. This involves taking into account the future cash flows of the project, plus an appropriate discount rate. The higher this number, the more profitable the investment is.
You can use the following equation to determine the NPV of the Dodger’s franchise.
$$\text{NPV} = \frac{\sum_{i=0}^n C_i}{1+r}\tag*{(*)}$$
Here, $C$ is the amount that the Dodgers will earn in the next year. $r$ is the interest rate.
In the above case, you’ll get a result of approximately $4.6 billion.
The Dodger’s Total Worth
There’s no doubt that the Dodgers have been a part of baseball history. From their first game in Brooklyn to the present day, the team has always stood strong. And they’re still standing today.
In this article, you’ll learn more about the value of the Los Angeles Dodgers. So, let’s get started.
When you look at the roster, you might notice that there are a lot of players who haven’t contributed much to the team over the years. However, there are also some superstars on the team like Clayton Kershaw, Kenley Jansen, and Andre Ethier.
So, how do you figure out what the Dodger’s overall worth is? Well, it all depends on the perspective you take. If you want to be a fan of the team, then the Dodger’s total worth is $1.5 billion. This number comes from the fact that the franchise has sold over 10 million tickets since its inception.
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