In Formula 1, the fastest thing isn’t the cars – it’s team valuations.
The 2026 F1 season marks the beginning of a new generation of cars that will be shorter, narrower, lighter, and more agile than their predecessors. The build-up to the first year of any technical regulations overhaul is often the most compelling, as it resets the pecking order. Teams are forced to start fresh, designing entirely new machinery – some aiming to extend dominance from the previous era, others hoping a clean slate redraws their place in the hierarchy.
Technicalities matter, but what the average fan truly hopes for is a drama-filled season, with the best drivers and teams in the world battling head-to-head for championship honours. After the second week of testing in Bahrain, however, the competitive picture remains anything but clear, leaving fans guessing who the early front-runners might be. So, as all 11 teams use the fortnight before the opening round in Melbourne, Australia (March 6–8) to chase every last bit of performance, the excitement is already building well before the first wheels hit the track at Albert Park Circuit.
While the battle lines in 2026 remain anyone’s guess, one thing is beyond doubt: the business of F1 will continue to accelerate at a record pace.
10 F1 teams are each valued at USD $1.5 billion or more – a threshold only four teams had cleared two years ago (based on data compiled before Cadillac joined the grid as the series’ 11th team). The average team valuation has revved up to USD $3.6 billion, up 89 per cent since 2023, according to Forbes. Per Sportico, the average valuation of an F1 outfit has risen to USD $3.42 billion, and each team is valued at USD $1.68 billion or more. Only the NFL and NBA have higher estimated average team values than F1.
Though the two sources report slightly different numbers, the consensus on F1’s astronomical valuation rise points to a few key factors. First, the 2021 implementation of a cost cap, which limits teams’ spending in many areas of their cars, has helped level the playing field. Another major driver is the scarcity of teams. Investors are competing for stakes in the very few franchises on the grid, while sponsors are eager to secure a spot on team merchandise and branding.
Media rights also play a huge role. Apple is now paying F1 around USD $140 million per year for exclusive U.S. streaming rights to every race, practice, qualifying, and sprint session, and countries are increasingly willing to pay higher hosting fees for a spot on the calendar. Not to mention, F1’s entrance into Hollywood with F1: The Movie, starring Brad Pitt, has further boosted the sport’s popularity following the success of its Netflix series, Formula 1: Drive to Survive.
When it comes to dollars instead of laps, some teams are already leading the pack this year. Let’s take a look at the five most valuable F1 outfits on the grid.
- 1. Scuderia Ferrari HP | Team Principal: Frédéric Vasseur | Drivers: Lewis Hamilton, Charles Leclerc
Looking back on Ferrari’s on-track performances over the past few years, the Tifosi have little to celebrate – but it shouldn’t come as a surprise that the sport’s most storied team tops this list, with an estimated valuation of USD $6.5 billion according to Forbes and USD $6.4 billion according to Sportico, representing a 34 per cent increase from their 2024 figure.
Despite a disappointing debut season with the Prancing Horse – in which the seven-time world champion failed to finish on the podium and was beaten by his teammate Charles Leclerc – Lewis Hamilton has undoubtedly added to the popularity of the Maranello-based team. The media value Ferrari generated for sponsors was 44 per cent higher than any other team, and it also leads all teams in social media engagement, ahead by 31 per cent. Its partners include HP, Puma, and IBM.
Whether Ferrari reignites its glory in 2026 or extends its streak without a driver or team title to 18 years, expect to see the team’s name at the top of this list for a very long time.
- 2. Mercedes AMG Petronas F1 Team | Team Principal: Toto Wolff | Drivers: George Russell, Andrea Kimi Antonelli
Along with Ferrari, Mercedes is the only other team on the grid to feature in Forbes’ 2025 list of The World’s 50 Most Valuable Sports Teams. Forbes values the Silver Arrows at USD $6 billion, while Sportico places them at USD $5.88 billion – a 49 per cent jump from 2024.
Although the Brackley-based squad got off to a slow start in the last regulations era, they have shown signs of progress, bolstered by a talented driver lineup featuring George Russell and 19-year-old phenom Andrea Kimi Antonelli.
The team’s partners include Adidas, Snapdragon, AMD, and Meta AI. Last year, Team Principal and CEO Toto Wolff sold a portion of his ownership stake in the team to American billionaire George Kurtz, CEO of cybersecurity firm CrowdStrike, which also currently sponsors Mercedes.
- 3. McLaren Racing | Team Principal: Andrea Stella | Drivers: Lando Norris, Oscar Piastri
McLaren’s financial transformation has been nothing short of remarkable. In 2019, when they were the fourth-most-valuable team, McLaren was by far the least profitable outfit in the series, posting an astonishing USD $137 million operating loss. Now, they rank as the third-most-valuable team, with an estimated valuation of USD $4.4 billion according to Forbes, while Sportico places them slightly higher at USD $4.73 billion – a 79 per cent increase from 2024.
Since arriving at McLaren, CEO Zak Brown has leveraged his business acumen to pursue commercial deals that have bolstered the team’s sponsorship cash flows. Forbes estimates that roughly 70–75 per cent of the team’s revenue comes from commercial operations – as opposed to prize money and central league revenue from media rights and race-hosting fees – with the lion’s share stemming from the diverse portfolio of partnerships Brown has cultivated. The team counts Google, Cisco, and Dell Technologies among its partners. Also, McLaren will welcome Mastercard as its title sponsor this year, a partnership valued at USD $100 million annually – adding another layer of financial muscle.
Off-track success has coincided with Lando Norris becoming the team’s first World Drivers’ Champion since 2008 last season, while the team has also won two consecutive World Constructors’ titles.
- 4. Oracle Red Bull Racing | Team Principal: Laurent Mekies | Drivers: Max Verstappen, Isack Hadjar
The energy drink-backed squad set the tone for the 2022-2025 ground effect era, securing three World Drivers’ Championships and two World Constructors’ titles in three years, with the most dominant driver in the sport, Max Verstappen, leading the way.
But Red Bull has since seen its dominance slip to McLaren, both on and off the track, having also been surpassed by the Woking-based outfit in valuation. Red Bull carries a valuation of USD $4.35 billion according to Forbes and USD $4.32 billion per Sportico – a 23 per cent rise from 2024. The team is partnered with the likes of Oracle, Visa, and TAG Heuer. Recently, Red Bull inked a deal with the Carlyle Group, which will see the global investment firm feature its logo on the Milton Keynes-based team’s car, drivers’ suits, pit wall, and garage.
- 5. Aston Martin Aramco Formula One Team | Team Principal: Adrian Newey | Drivers: Fernando Alonso, Lance Stroll
Aston Martin rounds out this list as a team commercially thriving on its iconic brand and the backing of Canadian billionaire Lawrence Stroll. Forbes values the team at USD $3.2 billion, while Sportico values it at USD $3 billion – marking a 45 per cent increase since 2024. Stroll has actively sought investment for the Silverstone-based outfit, bringing in firms such as Arctos Partners and HPS Investment Partners, and is reportedly selling the team’s naming rights for 50 million euros, according to Motorsport.com. Its roster of partners features Aramco, CoreWeave, and Coinbase.
Aston Martin hasn’t seen much success since joining the grid in 2021, but as the team enters the 2026 season with Adrian Newey – widely regarded as the greatest engineer and designer in F1 history – at the helm, and 44-year-old, two-time world champion Fernando Alonso still looking sharp behind the wheel, the Silverstone-based outfit could be poised for a turning point year.
Follow Aleksa on Instagram and X: @aleksa_cosovic
