Magic Johnson, born Earvin Johnson Jr., has cemented his place as one of the most influential figures in basketball history. With an impressive net worth of $800 million, Johnson’s wealth stems from his illustrious basketball career, savvy business ventures, and enduring entrepreneurial success.
An Early Start in Basketball
Magic Johnson’s basketball journey began in Lansing, Michigan, where he was born on August 14, 1959. Raised in a working-class family, Johnson quickly became enamored with the sport, idolizing players like Earl Monroe. At Everett High School, his skill on the court earned him the nickname “Magic” after he posted a triple-double at just 15 years old. His exceptional talent led his team to the state championship during his senior year, solidifying his reputation.
In 1979, Magic chose to stay in Michigan and attend Michigan State University. His decision to join the Spartans proved pivotal as he led them to the NCAA finals, where he faced off against Indiana State’s Larry Bird. Their rivalry would later become legendary in sports. Magic’s team defeated Indiana, and he was named the Most Outstanding Player of the Final Four.
NBA Career and Achievements
Magic’s transition to professional basketball came swiftly after college. In the 1979 NBA Draft, the Los Angeles Lakers selected him as the first pick. During his 13 years with the Lakers, Magic redefined the role of the point guard. Known for his unique combination of size, court vision, and versatility, he helped the Lakers to a new level of success. Magic won five NBA championships with the team, with the first coming in his rookie season in 1980. His ability to play all five positions during the NBA Finals set him apart as a truly extraordinary player.
In addition to his championships, Magic was awarded the NBA Finals MVP three times and won the league’s MVP award three times in the 1980s. His career statistics are remarkable, with over 17,000 points, 6,500 rebounds, and a record-breaking 10,000 assists. Known for his leadership and court awareness, he is widely regarded as the greatest point guard of all time.
A Career Cut Short but Not Forgotten
In 1991, Magic’s playing career came to an abrupt halt when he was diagnosed with HIV, a diagnosis that the world. However, Magic did not step away from the spotlight for long. He made a brief comeback in 1996 but ultimately retired permanently after his return was marked by success, with the Lakers having a solid record during his brief stint. Despite his health challenges, Magic’s legacy remained strong, and his impact on the game continued to resonate long after he left the court.
Magic’s Entrepreneurial Journey
After his retirement, Magic Johnson turned his attention toward business, where he found great success. In 1987, he founded Magic Johnson Enterprises, a conglomerate that invests in various industries, including entertainment, healthcare, and real estate. One of his most notable ventures was his partnership with Starbucks founder Howard Schultz, where they focused on opening stores in urban areas that had been largely ignored by other corporations. This initiative not only turned a profit but also helped boost local economies and create job opportunities in underserved communities.
Magic’s success in business didn’t stop there. He expanded his portfolio to include sports franchises. He was a key investor in the Los Angeles Dodgers purchase in 2012, which was valued at $2 billion. In 2014, he became involved with the purchase of the Los Angeles Sparks WNBA team and later joined the ownership group of the Los Angeles Football Club, a Major League Soccer expansion team.
Additionally, Magic has made strategic investments in various companies, including his controlling interest in EquiTrust Life Insurance Company. He was also been a part of a group that purchased the Washington Commanders NFL team in 2023 for $6.05 billion.
The Nike Deal That Wasn’t
One of the most well-known stories surrounding Magic Johnson involves a potential partnership with Nike. According to legend, in 1979, Magic was offered 100,000 shares of Nike by the company’s founder, Phil Knight, when Nike was still a small, emerging brand. The legend suggests that had Magic accepted the deal, those shares would be worth over $5 billion today. However, Magic himself has stated that he rejected the offer due to his lack of knowledge about stocks, a decision he deeply regrets.
While the story is widely told, it is likely more myth than fact. Nike was not publicly traded until 1980, a year after Magic’s alleged offer, making it highly improbable that Knight would have offered him shares at the time. Moreover, Magic had already signed with Converse by the summer of 1979, making the story even more unlikely. While Magic’s missed opportunity with Nike remains a well-known tale, it is important to approach it with some skepticism.
Philanthropy and HIV Advocacy
Beyond his business ventures, Magic has used his platform to advocate for HIV/AIDS awareness and prevention. In 1991, after publicly disclosing his HIV-positive status, Magic became a prominent figure in raising awareness about the virus. His openness helped combat the stigma surrounding HIV and challenged the misconception that it only affected specific groups. Magic established the Magic Johnson Foundation, which focuses on education, HIV/AIDS prevention, and community empowerment.
Magic Johnson’s Legacy in Business and Personal Life
Magic Johnson’s career as a businessman is just as impressive as his basketball achievements. His ventures have made him a significant figure in various industries, and his ability to diversify his portfolio continues to generate wealth. With a personal net worth of $800 million, Johnson has established himself as a savvy investor and entrepreneur.
Magic has also built a strong family life. In 1991, he married Earlitha “Cookie” Kelly, and the couple has two children, Earvin III (EJ), a reality TV star, and Elisa, whom they adopted. Magic also has a son, Andre, from a previous relationship. The Johnson family resides in luxurious homes, including a Beverly Hills mansion and a beach house in Dana Point, California.
Real Estate and Salary Highlights
Throughout his career, Magic Johnson made several smart real estate investments. He and his wife own properties in some of California’s most exclusive areas, including Beverly Park and Dana Point. They also sold their Hawaii home after realizing it was too far from their family’s daily needs.
In terms of salary, Magic earned just over $18 million during his NBA career, in addition to millions from endorsements with brands like Converse. These earnings have contributed to his wealth, but his business ventures since retiring have truly propelled him to financial success.
