How to Buy Fanatics Stock Before the IPO

Fanatics isn’t just the company that sells you overpriced jerseys. Under Michael Rubin’s leadership, it has transformed into a $31 billion sports empire spanning merchandise, trading cards (they bought Topps), and now sports betting.

And with IPO rumors swirling for 2025, you want to know if you can get in early.

The short answer: retail investors cannot buy Fanatics stock directly. The company remains private. However, unlike many unicorns, Fanatics shares do occasionally appear on secondary markets—meaning accredited investors with $25,000+ may have a path to ownership.

This guide breaks down who can actually access Fanatics shares, what the $31 billion valuation means for entry price, and what alternatives exist for everyone else.

Quick Summary

What Is Fanatics?

Fanatics started as an online sports merchandise retailer. Today, it’s a vertically integrated sports commerce platform with three distinct business segments—each representing a different bet on the future of sports fandom.

The Michael Rubin Story

Michael Rubin founded the company that would become Fanatics in 1995. After selling his original business to GSI Commerce (later acquired by eBay), he bought back the Fanatics division and began an aggressive expansion strategy.

Rubin is a well-connected figure in sports and entertainment. He’s a part-owner of the Philadelphia 76ers and New Jersey Devils, and his annual “White Party” in the Hamptons attracts everyone from Jay-Z to Tom Brady. These relationships have translated into exclusive licensing deals that competitors can’t match.

The Three Business Segments

1. Fanatics Commerce (Core Merchandise)

This is the original business: selling licensed sports apparel and merchandise. Fanatics holds exclusive e-commerce rights with the NFL, NBA, MLB, NHL, and hundreds of college programs.

Key advantages:

• Vertical integration (owns manufacturing and fulfillment)
• On-demand production reduces inventory risk
• Exclusive licensing deals lock out competitors
• Estimated $4+ billion in annual revenue

2. Fanatics Collectibles (Trading Cards)

In 2021, Fanatics acquired Topps’ sports trading card business, ending Topps’ 70-year run as an independent company. This gave Fanatics control over MLB, NFL, and other sports card licenses.

The collectibles segment includes:

• Physical trading cards (Topps, Bowman brands)
• Digital collectibles and NFTs
• Memorabilia and autographed items

This is a high-margin business with passionate collectors willing to pay premium prices.

3. Fanatics Betting & Gaming

The newest and riskiest segment. Fanatics launched its sportsbook in 2023, entering a crowded market dominated by DraftKings and FanDuel.

The thesis: Fanatics can convert its 100+ million customer database into sports bettors, cross-selling between merchandise and wagering. The reality: sports betting is brutally competitive, and customer acquisition costs have crushed profitability across the industry.

Funding History

Fanatics has raised billions from top-tier investors:

The investor roster includes both growth-focused funds (SoftBank, Tiger Global) and more conservative institutional players (Fidelity, BlackRock)—suggesting broad confidence in the business model.

Can You Buy Fanatics Stock?

The direct answer: Retail investors cannot buy Fanatics stock. Accredited investors have limited access through secondary markets.

Here’s the breakdown:

Accredited Investors

Unlike some private companies where shares never trade, Fanatics does appear on secondary market platforms. Forge Global has shown recent trading activity with shares priced around $42 per share.

What this means practically:

• Shares are available, but supply is limited
• Minimum investments typically start at $25,000
• Transaction fees range from 2-5%
• You’ll need to verify accredited investor status
• Transfer times can take weeks

Other platforms like EquityZen and Hiive may also list Fanatics periodically, though availability varies.

Retail Investors

No direct path exists. Fanatics is private, and secondary market platforms require accredited investor status.

Your options are:

1. Wait for the IPO (rumored for 2025)
2. Invest in public alternatives (covered below)
3. Qualify as an accredited investor

Accredited Investor Requirements

To access Fanatics shares on secondary markets, you must qualify as an accredited investor under SEC rules.

Income Test

• $200,000+ annual income for the past two years (individual), OR
• $300,000+ combined with spouse/partner
• Reasonable expectation of the same income this year

Net Worth Test

• $1 million+ net worth, excluding your primary residence

Professional Credentials

• Series 7, 65, or 82 licenses
• Certain professional designations

Reality Check: About 13% of U.S. households qualify as accredited investors. If you don’t meet these thresholds, the “Alternatives for Retail Investors” section below covers your options.

How to Invest in Fanatics (If You’re Accredited)

If you qualify as an accredited investor and want to pursue Fanatics shares, here’s how secondary markets work:

Step 1: Choose a Platform

Forge Global — Currently shows the most Fanatics activity

• Minimum: $25,000+
• Fees: 2-5%
• Process: Connects buyers with existing shareholders
• Recent price: ~$42/share

EquityZen — May have periodic availability

• Minimum: $25,000+
• Fees: 5-10%
• Process: Creates funds holding private shares
• Availability varies

Hiive — Worth monitoring

• Minimum: $10,000+
• Fees: 2-5%
• Direct buyer-seller matching

Step 2: Verify Accreditation

Platforms require documentation proving accredited status:

• Tax returns showing income
• Brokerage statements showing net worth
• Third-party verification services
• Professional credential verification

Step 3: Understand the Terms

Before purchasing, review:

• Transfer restrictions — Company may have right of first refusal
• Lock-up provisions — May not be able to sell until after IPO
• Information rights — Limited access to company financials
• Voting rights — Typically none for secondary shares

Step 4: Execute the Transaction

Once matched with a seller:

• Sign purchase agreement
• Transfer funds to escrow
• Wait for company approval (if required)
• Receive share confirmation

The entire process can take 2-6 weeks.

Valuation Reality Check

At $42 per share on Forge, you’re buying at a valuation reflecting the October 2023 $31 billion round. Consider:

• This implies significant future growth is already priced in
• Sports betting segment is unproven and competitive
• IPO pricing may differ from secondary market pricing
• No guarantee the IPO happens on rumored timeline

Alternatives for Retail Investors

Can’t access secondary markets? Here’s how to get exposure to the sports commerce and betting thesis:

The Closest Public Comparables

DraftKings (DKNG) — Sports Betting Pure Play

• Market cap: ~$17 billion
• Focus: Sports betting and daily fantasy
• Why it matters: Direct competitor to Fanatics Betting & Gaming
• The trade: If you believe sports betting will grow, DKNG offers liquid exposure

Flutter Entertainment (FLUT) — FanDuel Parent Company

• Market cap: ~$45 billion
• Focus: Global sports betting (owns FanDuel, PokerStars, Paddy Power)
• Why it matters: FanDuel is the market leader Fanatics is trying to challenge
• The trade: More diversified than DraftKings, international exposure

PENN Entertainment (PENN) — Sports Betting + Casinos

• Market cap: ~$3 billion
• Focus: Regional casinos plus ESPN Bet partnership
• Why it matters: ESPN Bet represents another approach to sports media + betting integration
• The trade: Higher risk, lower valuation than peers

Sports Betting ETF

Roundhill Sports Betting & iGaming ETF (BETZ)

• Expense ratio: 0.75%
• Holdings: DraftKings, Flutter, PENN, and international operators
• Why it matters: Diversified exposure to the sports betting trend
• The trade: Less volatile than individual stocks, but lower upside

Adjacent Plays

If you believe in the broader sports commerce thesis:

Nike (NKE) is particularly relevant—it’s both a competitor and partner to Fanatics in the sports merchandise space. If you believe sports fandom drives commerce, Nike offers established exposure.

The “Wait for IPO” Strategy

Fanatics has been rumored to IPO since 2022. If a 2025 IPO materializes:

Advantages of waiting:

• No accreditation requirements
• Full liquidity from day one
• More financial disclosure before buying
• Price discovery through public markets

Disadvantages:

• May miss pre-IPO appreciation
• IPO pricing could be aggressive
• Lock-up expirations can create volatility

For most retail investors, waiting for the IPO is the most practical path.

Valuation Analysis

Fanatics’ $31 billion valuation deserves scrutiny. Let’s break it down by segment:

Segment Valuation Estimates

The commerce business is real and profitable. The collectibles business has high margins. The betting business is the wild card.

The Sports Betting Question

Here’s the uncomfortable truth: Fanatics is asking investors to pay a premium for a sports betting business that:

1. Launched in 2023—years behind DraftKings and FanDuel
2. Operates in a market where customer acquisition costs are brutal
3. Faces competitors with deeper pockets and established brands
4. Has yet to prove it can convert merchandise buyers into bettors

The bull case: Fanatics’ 100+ million customer database is a unique asset. If even 5% convert to regular bettors, the economics could be transformative.

The bear case: DraftKings and FanDuel have spent billions on customer acquisition and still struggle with profitability. Why would Fanatics be different?

Historical Valuation Trajectory

Valuation growth has slowed from the 2021-2022 frenzy. This could mean:

• More rational pricing as markets sobered
• Growth expectations moderating
• Or simply fewer funding rounds to mark up valuation

Risks of Pre-IPO Fanatics Investing

Liquidity Risk

Secondary market shares have limited buyers. If you need to sell before an IPO:

• Finding a buyer may take months
• You may need to accept a discount
• Platform fees eat into proceeds
• Company may block transfers

Post-IPO risk: Lock-up periods typically prevent selling for 90-180 days after an IPO.

Valuation Risk

At $31 billion, Fanatics is valued higher than:

• DraftKings ($17B) — established sports betting leader
• Hasbro ($8B) — owns major toy and game brands
• Mattel ($7B) — owns major toy brands

The valuation assumes successful execution across all three segments. If sports betting fails to gain traction, or if trading card interest fades, the valuation could compress significantly.

Competition Risk

Each segment faces serious competition:

Commerce: Amazon, Nike, and Lululemon all compete for sports apparel dollars. Exclusive licensing deals help, but they’re expensive to maintain and subject to renegotiation.

Collectibles: The trading card market is cyclical. The 2020-2021 boom has cooled. Digital collectibles (NFTs) have collapsed. Topps’ value may have peaked.

Betting: DraftKings and FanDuel have spent billions building brand awareness. Flutter (FanDuel’s parent) has deeper pockets. Fanatics is late to a market where first-mover advantage matters.

Regulatory Risk

Sports betting operates under a patchwork of state regulations. Risks include:

• States could increase taxes on sports betting revenue
• Advertising restrictions could limit customer acquisition
• Some states may never legalize
• Federal regulation could change the landscape

Key Person Risk

Michael Rubin is central to Fanatics’ success. His relationships with sports leagues, celebrity connections, and strategic vision drive the company. Any change in his involvement could impact the business.

When Will Fanatics Go Public?

Official position: Fanatics has not announced IPO plans.

The speculation: Multiple reports have suggested a potential 2025 IPO, with the company targeting a $2-3 billion raise. However, similar rumors circulated in 2022 and 2023 without materializing.

What Would Trigger an IPO?

Factors that could accelerate an IPO:

• Sports betting segment reaching profitability
• Favorable public market conditions
• Investor pressure for liquidity (SoftBank, Tiger Global)
• Need for capital to fund betting expansion

Factors that could delay:

• Sports betting losses continuing
• Unfavorable market conditions
• Desire to hit valuation milestones first
• Regulatory uncertainty in betting

Comparable IPO Timelines

Fanatics has been operating since 1995, though its current form (post-Rubin transformation) dates to the mid-2010s. A 2025 IPO would align with typical timelines for venture-backed companies.

Best estimate: 2025-2026 remains plausible, but contingent on market conditions and sports betting performance.

The Bottom Line

Fanatics represents an interesting investment thesis: a vertically integrated sports commerce platform with exclusive licensing deals, a high-margin collectibles business, and an ambitious bet on sports betting.

But the $31 billion valuation prices in significant future success—particularly in the unproven betting segment.

For accredited investors: Shares are available on secondary markets like Forge Global at ~$42/share with $25,000+ minimums. Understand that you’re buying at a premium valuation with limited liquidity and betting on sports betting success.

For retail investors: No direct access exists. Consider DraftKings (DKNG) or Flutter (FLUT) for sports betting exposure, or wait for the rumored 2025 IPO. The “wait for IPO” strategy may offer better risk-adjusted entry.

For everyone: Be realistic about what you’re buying. The jersey business is solid. The trading card business is cyclical. The sports betting business is a gamble—literally and figuratively.

Michael Rubin has built something impressive. Whether it’s worth $31 billion is the question you’re betting on.

FAQ

Can you buy Fanatics stock?

Retail investors cannot buy Fanatics stock directly. The company is private. Accredited investors may access shares through secondary market platforms like Forge Global, with minimum investments typically starting at $25,000.

Is Fanatics publicly traded?

No. Fanatics is a private company. IPO speculation suggests a potential 2025 public offering, but no official announcement has been made.

How much is Fanatics worth?

Fanatics was valued at $31 billion in its October 2023 funding round. Secondary market trading on Forge Global has shown prices around $42 per share.

When will Fanatics IPO?

Fanatics has not announced IPO plans. Industry speculation points to a potential 2025 IPO targeting a $2-3 billion raise, but similar rumors have circulated since 2022 without materializing.

Who owns Fanatics?

Fanatics is led by Executive Chairman Michael Rubin. Major investors include SoftBank Vision Fund 2, Silver Lake, Tiger Global, DST Global, Fidelity, and BlackRock. The company also has strategic partnerships with MLB, NFL, NBA, and NHL.

What does Fanatics do besides sell jerseys?

Fanatics operates three business segments: Commerce (licensed sports merchandise), Collectibles (Topps trading cards and memorabilia), and Betting & Gaming (sports betting launched in 2023). The company has evolved from a merchandise retailer into a diversified sports commerce platform.

Sources

• Forge Global: Fanatics trading data — https://forgeglobal.com
• Wall Street Journal: “Fanatics Valuation Hits $31 Billion” (October 2023)
• SEC: Accredited Investor Definition, Rule 501 — https://www.sec.gov/education/capitalraising/building-blocks/accredited-investor
• Yahoo Finance: DraftKings (DKNG) — https://finance.yahoo.com/quote/DKNG
• Yahoo Finance: Flutter Entertainment (FLUT) — https://finance.yahoo.com/quote/FLUT
• EquityZen: Platform documentation — https://equityzen.com
• Hiive: Secondary market platform — https://hiive.com