Manchester United Sees its Value Drop £400 Million This Season

Manchester United have been underperforming all season long, which has seen their value drop a massive 9 figures on the stock market.

(Image credit: CNN)

When their 2015-16 season kicked off with 1-0 win against Tottenham Hotspur at Old Trafford, The Red Devils’ stock was trading at a cool £12.84. However, now things are drastically different, as they’ve shredded a whopping £400 million off their market value after the 3-0 defeat to Spurs last weekend.

The loss at White Hart Lane saw a staggering 25% drop in Manchester United stock value, which essentially put their share price at a mere £9.67 on Monday. This led to a readjusted market capitalization of £1.58 billion, which is in stark contrast to their market cap of £2 billion at the start of the season, according to Sky Sports.

Despite investing heavily in new signings, manager Louis van Gaal hasn’t been able to utilize his players’ talents, which has seen them put on lacklustre performances all season. Anthony Martial was brought in from AS Monaco for a rumoured £36 million fee, while around £20-25 million was shelled out for Memphis Depay – the former has shown signs of future talent but is not there yet, while the latter has been inconsistent. Bastian Schweinsteiger was purchased for a mere £6 million, however he hasn’t quite adapted yet to the Premier League, while other players have also underperformed.

(Image credit: The Telegraph)

Manchester United are currently 5th in the Premier League with only 53 points to their name, 4 points behind “noisy neighbours” Man City. And if they miss out on the Champions League for the second time in three years, it would lead to even more damaging financial results. Not only would they miss out on match day revenue from Europe’s elite competition (tickets, prize money, merchandise and TV rights), but the deal they have with Adidas would see them receive less money.

Instead of the £75 million they now receive, they would instead get “only” £50 million, should they fail to qualify for Champions League football. It is speculated that Manchester United would miss out on at least £50 million with the absence of elite continental football next season.

Bet365 Sports is currently offering odds of 4.50 (7/2) for Manchester United to finish in the Top 4 of the Premier League. If you think that’s going to happen in the coming weeks before the season concludes, place a wager on this market! (For more info about the online sportsbook, check out Bet365 Sports Review.)