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Magic Johnson achieves billionaire status, joining athletic elite

Magic Johnson
Updated Wed, Nov 29, 2023

The legendary former basketball superstar, Magic Johnson, has officially ascended to the billionaire ranks according to Forbes, solidifying his place as the fourth athlete to reach this extraordinary milestone.

Forbes‘ estimations place Johnson’s wealth at a staggering $1.2 billion (£990 million), recognizing his diverse and lucrative investments as the driving force behind his monumental financial success. While Johnson enjoyed an illustrious NBA career that earned him $40 million, his real financial prowess lies outside of the realm of sports. His primary wealth, as Forbes points out, comes from his stake in a life insurance company. This substantial investment underscores his calculated approach to securing his future.

The 64-year-old star isn’t just a one-trick pony; he has expanded his portfolio with ownership stakes in various sports teams. Magic Johnson’s influence extends to MLB’s Los Angeles Dodgers, cementing his status as a sports mogul beyond the basketball court.
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Outside sports, Magic Johnson’s financial acumen is evident in investments with famous brands like Starbucks and Burger King, solidifying his reputation as a sharp entrepreneur and wise investor. His involvement in the fitness industry through 24 Hour Fitness adds another layer to his ever-expanding empire.

Notably, Magic Johnson remembered that he could have reached billionaire status much earlier if he had chosen differently when offered a life-changing decision in the 1970s. At that time, he had the option to accept shares from a little-known sports apparel company called Nike. However, he opted for a $100,000-per-year deal with Converse, a decision that still haunts him.

“My family didn’t come from money, that’s one thing that hurt us sometimes. When you don’t come from money, you don’t know. I didn’t even know what stocks were at the time,” Johnson said on the All The Smoke podcast earlier this year.

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Magic Johnson and his wife cookie with children and grandchildren on vacation

Who is Magic Johnson

Magic Johnson, whose real name is Earvin Johnson Jr., is a former professional basketball player, entrepreneur, and philanthropist. He is widely known as one of the greatest basketball players in the history of the NBA (National Basketball Association).

During his celebrated NBA career, Magic Johnson played as a point guard for the Los Angeles Lakers. Johnson won numerous awards during his career, including five NBA championships with the Lakers and three NBA Most Valuable Player (MVP) awards. He was a 12-time NBA All-Star and a member of the All-NBA First Team on several occasions.
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In addition to his basketball career, Magic Johnson has made a significant impact in the business world. He is a successful entrepreneur with investments in various businesses, including ownership stakes in sports teams such as the Los Angeles Dodgers and the Los Angeles Sparks. Johnson has also been involved in projects related to real estate, movie theaters, and urban development.

His philanthropic efforts have included supporting HIV/AIDS awareness and prevention. In 1991, he announced that he had tested positive for HIV, which at the time was a stigmatized and life-threatening disease. Johnson’s public disclosure and advocacy helped raise awareness about the condition and contributed to destigmatizing HIV/AIDS.