Manchester United has been named as the most valuable sports team in the world by Forbes magazine.

Forbes names Manchester United as world's most valuable sports team

The Red Devils, who are valued at $1.86 billion (£1.16bn), beat NFL team Dallas Cowboys and the New York Yankees to top the list. The Red Devils beat off competition from the Dallas Cowboys, New York Yankees and Real Madrid to top the 50-team list, which also includes all 32 American NFL sides

Out of the top 50 sports teams in the annual list, all 32 NFL sides were included, while just eight football clubs from around the world made it. Real Madrid, in fifth place, are the second most valuable football club, while Arsenal and Chelsea are in seventh and 46th place respectively. NFL has grown explosively over the last 25 years as TV revenue jumped 700%. NFL owners claim that they are not getting a big enough share of the league in revenue.

The finances of Manchester United continue to look up. This season marked the first year of its new T-shirt sponsorship with Aon, worth$32 million annually over 4 years. It represents a 50% bump from its prior deal with AIG. United’s advertising revenue has a big impact on their valuation, with the club having an £80m, four-year deal with shirt sponsor Aon and a £302.9m, 13-year deal with Nike. The current 13-year contract is set to expire in 2015, but a new deal is set to be done by next year that could be worth as much as $70 million a year. The club also gains their revenue from the club’s fan base, with an estimated 333,000,000 supporters around the world. Reports surfaced last month that United is considering selling shares on the Hong Kong Stock Exchange at a price that would value the club at $2.7 million.

The Cowboys are the sports world’s second most valuable team with a worth of $1.81 million. America’s team has signed host of lucrative sponsorship deals with likes of AT&T, Bank of America, Ford Motor and PepsiCo. Soccer has largest number of teams on the list at eight. Basketball and Formula 1 are both placed two teams on the list. F1’s Ferrari ranks 13th with a worth of $1.07 billion, while Mclaren is No. 36 at $815 million. Ferrari has not won the F1 Championship since 2008, but continues to have the most financial muscle in the sport.

Tags: Champions, Dallas Cowboys, English Premier League, EPL, Manchester United, Red Devils, Sports Team