Just released: Our latest Sports Collectibles Market Report!
Sports cards and memorabilia have played a significant role in the growth of fractional marketplaces. This week, we dive into the data and returns behind sports assets to review buyouts, market caps, trading performance, and more.
There have been 265 total assets from the two sectors that have IPO’d as of July 30th with more scheduled to open each week. Sports cards have 203 assets between Collectable, Otis, and Rally while sports memorabilia is represented by 62 assets.
The average market cap at IPO for sports memorabilia offerings is $169,283 while the average market cap for sports cards is $118,966. Regarding sports-related assets that are currently trading, three carry market caps over $1 million. There are 57 different offerings with market caps over $100,000 and 22 different assets with market caps below $25,000. The market caps also vary significantly depending on era. For example, the average market cap for sports cards printed in the 21st century is $96,365.25, whereas the average market cap for 1950s sports cards is $213,845.24.
There have been 11 accepted buyouts for sports cards and two accepted buyouts for sports memorabilia. Both memorabilia buyouts occurred on Rally, with an average ROI of 26.7%, while the average buyout return for sports cards has been 79.92%. The highest net ROI was the 1955 Topps Sandy Koufax card on Collectable which returned 177.8%. The lowest net return from IPO was the 1953 Topps Mickey Mantle on the same platform, which returned 19.5% after taxes and fees. Out of the 13 buyouts, four were for assets from the 1950s while three have been from both the 1980s and 2000s respectively. For these asset classes, Collectable leads with seven accepted offers while Rally investors have accepted six buyouts.
Sports cards have significantly outperformed sports memorabilia with an average return of 17.12% versus -10.97%. The 1956 Topps Mickey Mantle on Rally is up 415% from its IPO price while the 1986 Fleer Michael Jordan Rookie Card on Collectable has gained 285%. The best performing card on Otis is the 2002 Panini Futbol Cristiano Ronaldo which is up 195%. For sports-related assets actively trading, Rally has an average return of 25.9%, Otis is 7.25%, and the average on Collectable is -0.86%. Although Collectable’s trading performance has lagged, their buyout offers have well outpaced the competition. Four of the five highest ROI offers have been accepted via Collectable and the platform has accepted three offers that returned at least 100%.
High school apparel from superstar basketball players has led the sports memorabilia sector. The Zion Williamson High School Sneakers on Rally have added 93.8% to their IPO price, the best return for any sports memorabilia as of July 31st. Collectable’s 1954 Game-Worn Wilt Chamberlain High School Uniform is their best performing piece of sports memorabilia with a return of 91.8%.
Pre-war cards have returned 41.87% on average while post-war vintage is up 51.34%. The junk wax era is the worst performing period with an average return of -37.5% while modern cards are up 2.85% on average. The seven worst-performing cards are from the 2000s and 9 of the bottom 10 cards are from production runs between 2005-2019. The pre-war era is represented by 10 cards while post-war vintage is carried by 50 different examples. There are 80 cards from the 2000s that are either actively trading or have been sold via buyout offers. The junk wax era has largely been ignored by fractional marketplaces with limited IPOs and performance currently dictated entirely by the 1993 Foil Derek Jeter.
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Disclaimer: You understand that by reading Altan Insights, you are not receiving financial advice. No content published here constitutes a recommendation that any particular security, transaction, or investment strategy is suitable for any specific person. You further understand that the author(s) are not advising you personally concerning the nature, potential, value or suitability of any particular security, transaction, or investment strategy. You alone are solely responsible for determining whether an investment, security or strategy, or any other product or service, is appropriate or suitable for you based on your investment objectives and personal financial situation. Please speak with a financial advisor to understand if the risks inherent in trading are appropriate for you. Trade at your own risk.
