Wolverines given $2 billion valuation by The Athletic

Michigan football has been assigned a projected $2 billion valuation by The Athletic, placing the Wolverines fourth among all college football programs in its latest estimate of what each Power Four team could theoretically sell for if programs were treated like professional sports franchises.

The valuation moves Michigan up one spot from last year’s rankings and makes it one of only four college football programs worth more than $2 billion. Only Texas, Ohio State, and Notre Dame received higher projected values.

The Athletic specified that its rankings model hypothetical sale prices rather than actual market values. To develop the projections, the publication compared revenue-to-sale-price ratios from professional sports transactions. It evaluated SEC and Big Ten programs using NFL and NBA franchise models, while ACC and Big 12 schools were compared to MLB and NHL organizations. The analysis also factored in reported athletic department financial data, brand strength, demographics, and conference realignment.

The Wolverines valuation was supported by their recent football national championship, one of the nation’s largest fan bases, and the program’s extensive brand recognition. Those factors continue to make Michigan one of the biggest brands in college athletics.

A $2 billion valuation would also place the Wolverines ahead of many professional sports organizations across the world. The projected figure exceeds the estimated values of 17 NHL franchises, 11 MLB teams, and all but six English Premier League soccer clubs, although it remains below the highest-valued NFL and NBA franchises.

Though the valuation does not measure on-field performance, facilities, or spending, it is indicative of the long-term strength of Michigan’s brand.