Real Madrid increases the value of its signings by €526 million since 2020

Real Madrid's recruitment strategy is delivering results both on the pitch and in the balance sheet. The club has increased the value of the players it has signed over the past five years by €526 million, according to the latest report from the CIES Football Observatory. The figure makes Madrid one of the best-performing clubs in the market, with Kylian Mbappé and Arda Güler standing out as the main drivers of the surge.

How CIES measures the increase in value of Real Madrid signings

The study examines how the value of players bought over the last five years has changed, excluding academy graduates. To calculate the balance, the observatory looks at two main groups: completed transfers, where it compares fees paid and received, and players still at their clubs, where it measures the difference between the original cost and the current market value.

Of Real Madrid's €526 million appreciation, only €27 million come from actual capital gains on players who have already left the club. The rest are paper gains based on the current valuations of footballers still in the squad.

Mbappé and Güler lead the rise in Real Madrid's transfer value

Kylian Mbappé arrived at the Bernabéu as a free agent, with no transfer fee involved, and his current value is above €160 million. That single move explains a significant part of the overall gain. Arda Güler has followed a similar path: Real Madrid paid €30 million for the Turkish playmaker and he is now valued at €125 million, giving a massive boost to his contribution in the report.

The combination of a free signing and a young talent whose price has multiplied quickly sums up the club's ability to move early in the market and bring in emerging stars before their values explode.

Villarreal and Betis also shine in the Spanish ranking

The study is not just about Real Madrid. All 22 Spanish clubs included in the data finish with positive figures, suggesting that LaLiga clubs as a whole have managed to sell and value their recent signings well. Villarreal is the second-best Spanish side in the report, with an increase of €387 million, followed by Betis with €294.

Celta Vigo adds €171 million, Elche €120, Valencia €102 and Girona €101, while Atlético de Madrid and Sevilla also appear in the ranking with €100 and €92 respectively. The numbers show that increasing transfer value is not a luxury reserved for the biggest budgets: mid-sized clubs have also made their bets pay off.

The losers: European giants struggling to add transfer value

Real Madrid has turned squad management into a competitive advantage that also shows up in the accounts.

At the other end of the scale, several clubs have paid large fees without seeing their squads grow in value. Among Europe's top leagues, the best-performing sides are Eintracht Frankfurt with €527 million, Paris Saint-Germain with €490, Benfica with €488 and Manchester City with €447.

Manchester United's steep fall and the Saudi clubs' struggles

The opposite of Real Madrid is Manchester United, whose signings have depreciated by €405 million over the last five years. Tottenham follows with €188 million, with Spartak Moscow on €89 million, Leicester City on €88 and West Ham on €82.

The worst results belong to Saudi Pro League clubs, caught in a pattern of heavy spending with very limited returns. Al-Hilal loses €502 million in signing value, Al-Nassr drops €229, Al-Ittihad €175 and Al-Ahli €134. The figures raise serious questions about the massive investment model they have pursued in recent years.

Frequently asked questions about transfer value analysis