Nothing going to be in the favour of one of the most popular and decorated clubs in English Football – Manchester Unites as there share price took a major hit and registered it’s biggest drop in over a year. An astonishing amount of more than 300 million euros were wiped off the club’s value on the New York Stock Exchange (NYSE) prior to the opening of trading on Wednesday. The fall has taken the value of the club to its lowest level since October 2017, having hit an all-time of $27.70 less than three months ago.
Their share price fails to $18.19 (£14.22) from $19.92 (£15.58) before the NYSE shut on Tuesday evening. Lately, Man United have struggled for form in the Premier League with the Red Devils languishing in eighth spot after 12 games.
They have lost six of their 12 top-flight games with their latest defeat coming at the hands of rivals Manchester City just before the international break.
The senior figures in the United setup refrained themselves from commenting on the price drop, while the club’s owners – the Glazer family, are relaxed about the situation. As per the sources, the owners are pointing out an overall market slump in recent months that has affected the valuation of businesses across the spectrum.
Earlier – United, listed on the NYSE since August 2012, had been valued by Forbes.com as the most valuable team in world sport at $4.8 billion (£3.75bn) in August this year.
Last week, United released their latest quarterly accounts, with figures showing the club’s wage bill has risen by more than 10 percent compared to the same period (three months to Sept. 30) a year ago. It means Mourinho’s men are set to earn around £308m this season, which gives them by far the biggest wage bill in the Premier League.
It is thought that the losses in matchday, commercial and sponsorship revenue are down to a shorter summer tour and fewer number of home matches being played compared with the same reporting period last year.
Ed Woodward, United’s executive vice chairman, said: ‘Our financial strength enables us to continue to attract and retain top players and to invest in our academy, as we look to drive the success on the pitch that the club and our fans expect.
‘We remain on track to deliver our record full-year revenue guidance, underpinning our long-term, strategic plan to create sustainable growth across all areas of the club.’