What Darvish Needs To Do To Earn The Money
With a total commitment of around $111 million, Yu Darvish certainly didn’t come cheap for the Texas Rangers. While the team may expect to recoup some of that investment through generating revenues associated with having him on the team, it’s not very easy to plan a trip over from Japan to watch a starting pitcher, so we should be careful projecting large attendance gains based on having Darvish on the roster. And, while some may argue that the $51 million posting fee was a separate expense than player payroll, it’s still money the organization no longer will have access to that was a direct cost of having Darvish on the roster. Regardless of how the Rangers account for it in their ledger, it’s part of his expense, and needs to be considered when evaluating just how well Darvish needs to pitch in order to justify the Rangers decision.
So, how good does he need to be in order to accumulate approximately $110 million of value over the next six years? At $5 million per win with five percent annual inflation, the Rangers would be paying for +19.7 WAR during the life of the contract. If you think inflation’s going to be a little less than that, then you’ll come in around +21 WAR, a little more and you’ll be closer to +18 WAR. Most reasonable assumptions in terms of the current and expected future market for wins will lead you to somewhere in the general range of +20 WAR as Darvish’s target.
So, how reasonable is it for the Rangers to expect +20 wins of value from Darvish over the next six years. To answer that question, I decided to look at rolling six year windows over the last 10 years to see just how many pitchers have generally been able to perform at that kind of level. Here are the totals for each six year window since 2002: