Interesting about Express. Their parent company L Brands could also get him deals with their other lifestyle brands presumably. Other local companies with OSU ties include: Abercrombie, Cardinal Health, and Nationwide.
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NIL Keeping Talent In College
- Thread starter YaketySax
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Interesting about Express. Their parent company L Brands could also get him deals with their other lifestyle brands presumably. Other local companies with OSU ties include: Abercrombie, Cardinal Health, and Nationwide.
Cardinal Health wouldn’t get involved in NIL. They’re a B2B company outside a very small portion of their business (e.g., they own a small home pharmacy that ships medical supplies directly to patients). They also have ridiculously small margins and are under pressure to improve profitability.
Could maybe see Nationwide getting involved, though I’m sure they’re already spending a sizable amount of their budget on Peyton Manning.
Agree with the overall premise though about NIL being good for helping convince some players to stay in school longer.
Pro leagues have salary caps, colleges don't. Oscar is a perfect example. He's not an NBA player so his college years will be the biggest money making years of his life.
Interesting but I just don't see it for a first rounder. Really even a second rounder. Their confidence in their abilities should be such that they think they will earn more over a career if they go to the draft.
Idk if it’s the same company, I would assume so but I work at a hospital and there are a lot of products here made by cardinal health.
I don’t either. Once in a blue moon probably. We'll see about Stroud on Monday.
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It is the same company. They distribute pharmaceuticals, primarily to pharmacies, and medical supplies to hospitals, in addition to generating revenue from some smaller business units (e.g., nuclear medicine).
But that was my point, Cardinal’s customers are other businesses so they’re not out there advertising to consumers. They’re a massive company from a revenue perspective, but I’d wager a lot people have never heard of companies like Cardinal or McKesson.
Cardinal also has very slim margins, so they’re not flush with cash. On top of that, they’ve had a few bad quarters and are now dealing with an activist investor. So not only does NIL not align with their strategy, but they’ve got more pressing issues to deal with in terms of improving profitability.
Could paying a player for NIL be written off as “marketing?” Might be a way to lower the a tax bill a little
The increase in expenses would be larger than the tax savings. Makes no sense for them to get into NIL, but particularly now.
They’ve got some big strategic questions to address, like should they divest some of their business units. I’d suspect Elliott Management may be looking to carve them up.
You sure? From tomorrow's paper: https://www.dispatch.com/story/busi...us-public-companies-fall-in-2022/69772678007/
In what was a brutal year for stocks, Cardinal Health was an exception to the rule.
Shares of the Dublin-based wholesale drug distribution and medical products company rose 49.3% last year to a multiyear high, defying stock markets that posted their worst year since 2008.
I can't speak to if they'd get involved in NIL or not with OSU, but just that they love OSU in the C-Suite there. I don't think it matters much if others have heard of companies like Cardinal Health or CoverMyMeds so long as the money spends. I don't think name brand is the right way of looking at NIL. Just players getting paid.
No one has caps on endorsement deals. College players don't have a salary.
I’m 100% sure. Stock prices have been weird the last couple of years and haven’t always tracked with performance.
Cardinal missed their earnings in both Q1 and Q2. The medical segment in particular took it on the chin. Their earnings per share are also lagging those of McKesson and AmerisourceBergen, who are their biggest competitors in the pharmaceuticals segment (which is where most of their revenue comes from). They face some headwinds here and also aren’t as well positioned as the competition moving forward.
That resulted in Elliott Management announcing themselves this past summer, the unexpected departure of Cardinal’s CEO and his replacement by the CFO, as well as a shakeup of their Board of Directors. There were also some changes made to their Executive Committee. Those things don’t happen at companies that are doing well.
In terms of the OSU relationship, that has been because of strategic reasons. Two key ones in particular: 1. Talent acquisition and 2. Nuclear pharmacy. On the first point, Cardinal Health fills lots of roles, particularly for entry level roles, with OSU grads.
On the second point, OSU and Cardinal have long been partners on the cyclotron at Ohio State and some other initiatives in the nuclear pharmacy space. Nuclear pharmacy has been a steady performer for Cardinal, but it’s also a very small part of their business.
NIL may keep fringe players in college but NIL money doesn’t compare to NFL 1st and 2nd round signing bonuses and salaries.
Stroud did declare today...
www.espn.com
Potential top-5 pick Stroud leaving OSU for NFL
Ohio State quarterback C.J. Stroud has announced he will enter the NFL draft. The junior projects to be a top-five pick and will vie to be the first quarterback taken off the board.
Ain't nobody projected top 3 rounds NFL staying in CFB because of NIL receipts
It’s about the only source willing to put a valuation out there.
Levis also signed with Paul Miller Ford, IIRC, with a high quality Bronco ad.
For most true. Stroud must the championship he barely missed this year. For some that is worth it.
Reports are so varying. There some that say Leary is getting 7 figures here for next year. One poster says the numbers for a few of the transfers at UK are eye popping. It's not gonna be reported so we may not know the truth. MJ gonna keep beating the drum that UK NIL is bad. Yet we sign the top qb. Really how do you know
Agree, also the second contract is their big money maker in the pros, they will be delaying that payday by a year. Mid to lower round players whoo are key guys for their college team, I can see that being a decision for them.
The florida comitt at qb is trying to back outta his Loi because his 13 million dollar nil deal isn’t panning out. Hell stay in college forever
In last year’s draft the #1 pick got $6.7million/year while the last pick of the 3rd rd got $818k/yr. This doesn’t include sign bonus.
While I don’t think it would wise for someone like Stroud to stay…..given that he really can’t improve his status…..I can see situations where someone would stay if they’re projected lower.
While I don’t think it would wise for someone like Stroud to stay…..given that he really can’t improve his status…..I can see situations where someone would stay if they’re projected lower.
NIL and COVID are both locking out High school Seniors this year and next. There are guys staying around and taking roster spots in college. Hundreds of of these high school seniors are never going to advance to a college team after missing one year of participation.
I would rather have younger less experienced players on my team than keep guys who are 6th year seniors who peeked two years ago.
I would rather have younger less experienced players on my team than keep guys who are 6th year seniors who peeked two years ago.
A proven college QB gets 276K.
A High School QB got a $13 million deal in the same time frame.
The system is broken. It will not be able to continue like this. Market forces tell you that the NFL is a much more powerful organization. Feeder systems can not sustain paying higher money.
That just means the market value will drop. The feeder system itself AKA the schools aren’t paying a dime and will be able to sustain this system forever.
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I would bet Leary is making more than that at UK, but as for why Florida would overspend on unproven HS over a proven transfer like Leary I don't know. Maybe Leary didn't want to play there and was happy to take less to play for Coen. It's interesting case, and I wish we had more financial details. Both broadly and specific to this comparison.
I think NIL will keep more basketball talent in school. Just a numbers game...64 spots, 10-15 will go to overseas kids.
Now all the projects in years past that left early and had everyone scratching their heads as to why...well they're getting paid now and should stick around.
The guys who are not first round locks are going to think long and hard about whether or not they want to risk ending up in the D-league or buried on the bench.
Especially the talent at the top end of P5s where life as a college athlete is as good as it gets.
Football obviously a lot more people get drafted, more roster spots, and then practice squads.
There's also the injury thing that has cats sitting out bowl games. If you're worried about injury and sitting out bowl games, you're not returning for car dealership money.
Now all the projects in years past that left early and had everyone scratching their heads as to why...well they're getting paid now and should stick around.
The guys who are not first round locks are going to think long and hard about whether or not they want to risk ending up in the D-league or buried on the bench.
Especially the talent at the top end of P5s where life as a college athlete is as good as it gets.
Football obviously a lot more people get drafted, more roster spots, and then practice squads.
There's also the injury thing that has cats sitting out bowl games. If you're worried about injury and sitting out bowl games, you're not returning for car dealership money.
I've heard of both. I read about them in a book called Death in Mud Lick. Cardinal and McKesson should probably save their NIL pennies to help pay their share of the multi-billion dollar opioid settlement.
