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Magic Johnson named the newest billionaire in sports

Former Los Angeles Lakers great Magic Johnson has officially become the latest billionaire athlete in the United States, joining several other basketball legends.

Forbes declared Johnson a billionaire on Oct. 29, making him the third active or former NBA player to achieve billionaire status. While Johnson’s career earnings as an NBA player are estimated at only $39.242 million by Spotrac.com the Basketball Hall of Famer has had even more success in business than on the court.

  • Magic Johnson net worth: $1.2 billion

Incredibly, Johnson could’ve become a billionaire far sooner in life had he made a different decision. Upon entering the league in the 1979 NBA Draft, Johnson was offered an ownership stake in Nike, which was less than two decades into its founding.

Johnson turned down the offer, later revealing that it cost him $5 billion. WHile the deal he didn’t make is often membered, the Lakers’ icon reached billionaire status through other moves.

In 2015, he became a primary investor in the life insurance company EquiTrust, which has $25.7 billion in assets. Prior to that, he bought a 4.5% stake in the Lakers from Jerry Buss in 1994 for $10 million. He sold it in 2010 for $27 million.

Johnson is now a minority owner in the Washington Commanders (NFL), Los Angeles Dodgers (MLB), Los Angeles Sparks (WNBA) and the Los Angeles Football Club (MLS).

Related: Highest-paid MLB players

How many athletes are billionaires?

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There are four billionaire athletes in the United States today, with Magic Johnson, Tiger Woods, LeBron James and Michael Jordan in the exclusive group.

Johnson’s fortune comes from a variety of sources, including his majority stake in EquiTrust and the aforementioned ownership stakes in the Dodgers, Commanders, Sparks and LAFC.

Forbes estimates Jordan’s net worth at $3 billion, putting him in the Forbes 400. In August, the NBA legend sold his stake in the Charlotte Hornets franchise for an approximate $3 billion valuation, he had previously bought a majority stake in the club for $275 million in 2010.

As for Woods, Forbes estimates that one of the greatest golfers ever made $1.8 billion during his pro golf career, with $121 million coming from PGA Tour prize money. Woods was certified as a billionaire in 2022, becoming the second to James.

James, arguably the second-best NBA player ever, was declared a billionaire in 2022. He’s the only active athlete in the Forbes’ billionaire club and he was first to reach that status ahead of Woods, Jordan and Johnson.

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