Magic Johnson Is Officially a Billionaire — Here's How the Lakers Legend Made His Money Forbes estimates that Johnson's net worth is now an estimated $1.2 billion.

By Emily Rella •

Key Takeaways

  • Magic Johnson is the fourth athlete to become a billionaire alongside Tiger Woods, LeBron James, and Michael Jordan.
  • Johnson has invested in several companies including Starbucks, Loew's movie theaters, Burger King, and 24 Hour Fitness.
  • He also is a minority stakeowner in several sports teams.

Basketball legend Earvin "Magic" Johnson is officially a billionaire.

Johnson, 64, is now worth an estimated $1.2 billion thanks to a lucrative career in the professional sports arena, including stakes in multiple sports teams, per Forbes.

The retired athlete is a minority stakeowner in the Washington Commanders (NFL), the Los Angeles Sparks (WNBA), Los Angeles Dodgers (MLB), and the LAFC (MLS).

Johnson played for the Lakers for 12 seasons before he famously retired in 1991 after publicly disclosing that he had been diagnosed with HIV. He then returned to the Lakers for one more season in 1995 and then retired a final time following that season in 1996. He has been a long-time activist and advocate for the prevention of the disease.

Magic Johnson attends The Elizabeth Taylor Ball to End AIDS at The Beverly Hills Hotel (Getty Images)

Roughly $40 million of Johnson's net worth comes from playing in the NBA, but the majority of his earnings come from his 2015 purchase of EquiTrust, a life insurance company that he currently owns a 60% stake in.

Related: 5 Lessons on Success From Magic Johnson

Forbes reported that the company is now estimated to be worth $26 billion and generates $2.6 billion in annual revenue.

Johnson has also made other lucrative investments and generated business through his investment company Magic Johnson Enterprises, including a slew of Loew's movie theaters and Starbucks cafes that he's opened in predominantly black neighborhoods, as well as investments in Burger King and 24 Hour Fitness locations.

"Retail has made a mistake in thinking they couldn't make money in the Black community," Johnson told the New York Times in 2021 about his business endeavors. "And sure enough, we proved that wrong with the Magic Johnson Theatres. We proved it wrong with the Starbucks. That's why you see big retailers going into urban America more now than ever because they know they can get a return on investment."

Related: Magic Johnson: The Businessman Behind the Basketball Legend

Johnson is now the fourth professional athlete to join the billionaire club, alongside Tiger Woods, LeBron James, and Michael Jordan.
Emily Rella

Entrepreneur Staff

Senior News Writer

Emily Rella is a Senior News Writer at Entrepreneur.com. Previously, she was an editor at Verizon Media. Her coverage spans features, business, lifestyle, tech, entertainment, and lifestyle. She is a 2015 graduate of Boston College and a Ridgefield, CT native. Find her on Twitter at @EmilyKRella.

Editor's Pick

Related Topics

News and Trends

Most Popular

See all
Business Ideas

This Teacher Sells Digital Downloads for $10. Her Side Hustle Now Makes Six Figures a Month: 'It Seems Too Good to Be True, But It's Not.'

When one middle school teacher needed to make some extra income, she started a remote side hustle with no physical products and incredibly low overhead. Now she brings in six figures each month, and offers courses teaching others how to do the same.

By Frances Dodds
Business News

State Accidentally Posts the Wrong Powerball Winning Numbers — But 'Winners' Will Still Get to Cash In

The Iowa Lottery issued an update on the situation on Wednesday.

By Emily Rella
Leadership

Great Leaders Must Be Great Coaches — Here's How to Become One

To be a successful leader, you must become an expert in how to help others grow and develop. Here's a research-driven approach for entrepreneurial leaders to coach and effectively develop their teams.

By Scott Taylor
Money & Finance

5 Financial Moves to Make While Interest Rates Are High

Here's what you should do and what you should avoid while interest rates are high.

By Joseph Camberato
Living

'I Haven't Ticked All the Boxes Yet.' Hilary Duff Reveals Her Next Venture After More Than 2 Decades in the Spotlight — and the Surprisingly Relatable Key to Her Enduring Success

The actor talks entrepreneurship, secrets to success and her latest role as chief brand director for Below 60°, a product line of air fragrances.

By Brittany Robins
Marketing

Google Is About to Delete Inactive Accounts. Here's How to Avoid A Massive Gmail Bounce Rate.

Google will start deleting inactive accounts soon. For businesses like yours, that means many Gmail contacts will probably bounce. Here's how you can avoid that – and keep your business emails landing in the inbox.

By Liviu Tanase