The ownership group fronted by Walmart heir Rob Walton made an agreement to buy the NFL franchise the Denver Broncos for $4.65 billion. The price is an NFL record and most anyone has paid for a team competing in one of four major sports in North America. The Broncos’ price tag caused some to question Walton’s investment, but there is one expert who couldn’t love it more.
According to Sports Value Consulting’s founder Michael Rapkoch, Walton’s purchase of the Broncos will “diversify his investment portfolio” and represents a “smart buy” because of the stability it offers.
“The NFL is a smart buy,” Rapkoch said while speaking with Yahoo Finance. “So the Broncos, the Bowlens held it for 38 years. Guess what? The Broncos are going to be here 38 years from now. I don’t know what company you can say that about.”
Rapkoch added that it is hard to see the value of a sports franchise going down and that such investment can only increase in value while not being prone to risks like stocks or the housing market.
“NFL and all of the leagues have done a great of taking their league to the next level, and the proof is positive. I mean, leagues don’t go backwards,” he explained.