Yesterday, I looked into how the predictions at FanGraphs, both crowdsourced and those produced by me, matched the contracts awarded to free agents this offseason. Today, I’d like to dive into a few cases where I made mistakes in individual player predictions, as well as a few I think I did well on. In each case, I’ll try to come up with some takeaways for predicting contracts in the future.

Jacob deGrom
My prediction: 3 years, $141 million
Crowd prediction: 3 years, $120 million
Actual contract: 5 years, $185 million

My lesson here: Don’t predict an unprecedented contract if you’re aiming for accuracy. It made sense to me that Jacob deGrom would sign a deal that outstripped any before him when it comes to average annual value. He’s the best pitcher in the game when healthy, and that was enough for me. Why wouldn’t he have the biggest contract?

That’s a silly way of thinking about it in retrospect. He merited a huge contract, and he got one, but why in the world would someone with his injury history want a short-term deal? In all honesty, it doesn’t need to be more complicated than that. Predicting something outside of the ordinary is fine, but extraordinary predictions should require extraordinary confidence, not merely “I think this would be neat.” Read the rest of this entry »

Read the rest of this entry »

Free agency has come and gone this offseason. Earlier than we’re used to in recent years, we can look back on this year’s class and make some conclusions. To some extent, that’s a lot of our offseason coverage; what are ZiPS projections and positional power rankings, after all, if not catalogs of how teams have changed their fortunes in the offseason? Today and tomorrow, I thought I’d do something slightly more navel-gazey, and perhaps slightly more useful in the long run, by looking back at my contract predictions to see what went right and what went wrong.

First things first: let’s take an accounting of both the crowd’s and my predictions. I took the contracts signed by each of the top 50 players in free agency. A few clarifying remarks: I removed players who accepted a qualifying offer, as both the crowd and I made our predictions before qualifying offers were extended. I considered only guaranteed years, ignoring options of any type, be they vesting, team, or player. I also ignored incentives and trade kickers. Finally. I’m using Carlos Correa’s rumored deal with the Mets — 12 years, $315 million — even while it’s not yet official and may be amended.

With that out of the way, I grouped the players into positional groups and compared our predictions to real life. How’d it go? Pretty well, actually, for both sides. Positive numbers here mean we under-estimated, and negative numbers represent an over-estimate:

Read the rest of this entry »

For years, the baseball offseason had a predictable rhythm. When the World Series ended, we’d hit a lull. Around the Winter Meetings, a few Scott Boras clients would sign while he spouted strange, vaguely nautical similes. A few more marquee names would get caught up in Boras’ wake (see what I did there?) and sign as well. Then we’d have a lull around year end, and contract activity would pick up again in the new year.

That pattern hasn’t held even a little bit this winter. As of this writing, 45 of our top 50 free agents have signed, including the entire top 30; many guys who just missed the cut have signed as well. Four years ago, plenty of teams were still looking for free agent help in the first week of January. This year, your options are Johnny Cueto, Jurickson Profar, and then tumbleweeds.

This feels different than previous years of free agency, but I wanted to put some quantitative rigor behind that. I set out to compare this offseason to each previous one. I’ll spend plenty of time going through my methodology below, but first, let’s give the people what they want. This year really is different. Here’s the percentage of all free agents, weighted by previous year WAR, that had signed new deals by December 31 of each offseason since the conclusion of the 2000 season, excluding last year’s lockout weirdness:

The 2022-23 offseason (which I’ll be calling 2023 for simplicity’s sake for the remainder of the article) is tied for the most front-loaded offseason of this millennium. Given that offseasons had been getting progressively slower, that’s a meaningful change. Now, let’s talk about how I got to this conclusion, and come up with a few takeaways about the new landscape of free agency. Read the rest of this entry »

Maybe we shouldn’t doubt the Dodgers. They’ve won nine out of the last 10 NL West titles, and in the year they didn’t win the division, they won 106 games. They’re juggernauts by design, a team built to withstand the slings and arrows of outrageous fortune. They draft well, develop well, spend a ton of money, and spend that money intelligently. They’re the closest thing baseball has to a dynasty these days, and given the inherent randomness of the playoffs, that’s not likely to change anytime soon.

That’s all true – and despite it all, I’m leaning towards doubting their chances in 2023. For the first time in years, I don’t have to jump through hoops to come up with reasons to do so. The Dodgers look like one of the best teams in baseball, but they no longer look, at least to me, like the absolute class of the league. It’s weird to think of it that way, but let’s talk through it together.

First things first: the Dodgers lost a ton of good free agents this year, just like they do every year. That’s simply the cost of doing business when you’re good as consistently as they are; your team will naturally be filled with great players approaching free agency. This year’s iteration of the team lost a whopping 21.3 WAR worth of 2022 production, the highest mark in the majors. The list of the top five teams when it comes to lost 2022 production is a who’s who of clubs trying to contend right now:

Read the rest of this entry »

Hey, they had the money. After the sensational done-not-done saga that ended with Carlos Correa signing with the New York Mets, the Giants spent the rest of the week signing two of the top remaining free agents on the market. They added Michael Conforto on a two-year, $36 million deal that includes an opt out after the first year, then signed Taylor Rogers to a three-year, $33 million deal after that.

I ranked Rogers 19th among this winter’s crop of free agents, so let’s start with him. To me, he’s one of the best handful of relievers in the game. I think this was a great pickup for the Giants — and would have been a great pickup for any team in baseball given the contract he got. Rogers spent the first six years of his major league career with the Twins and was reliably excellent, accruing a cumulative 3.15 ERA and 3.01 FIP. That earned him a spot on AJ Preller’s must-trade-for list; the Padres acquired him last offseason to head a closer-by-committee situation in San Diego.

He split time between the Padres and Twins last year – he was traded in the Josh Hader deal at the deadline – and had his worst season as a pro. He posted a 4.76 ERA, easily his worst mark and in a year where league-wide offense declined markedly. It looks to me mostly like bad luck, though; he still posted a 3.31 FIP, but largely got BABIP’ed (.327) and sequenced (63.5 LOB%, compared to a league average mark of 72.6%) to death. He struck out more than 30% of opposing batters while walking just under 7%, and gave up home runs at roughly the same clip he always had. The biggest cause for concern, in my eyes, is that he gave up a raft of hard contact in Milwaukee, but given that he only threw 23 innings there, I’d put it in the too-small-of-a-sample-to-matter bucket. Read the rest of this entry »

When José Abreu signed with the Astros earlier this offseason, there was a lot to like. He fits their overall team construction, he’s a great hitter, and the contract looks more reasonable every day in the context of the rest of the free agent market. In several corners of the baseball internet, though, there was one worrisome note: Abreu’s performance against fastballs, particularly of the high-velocity variety, declined markedly in 2022.

I’m not crediting one person in particular with this observation, only because I’ve seen it in so many different places. It’s incontrovertibly true. Here are Abreu’s numbers against both all four-seamers and all fastballs thrown 95 mph or harder, per Baseball Savant:

Oh no! The trends seem quite clear; Abreu didn’t hit fastballs very well in 2022, and he’d already started to decline against them somewhat the season before. Is he just cooked? Is this fastball performance the proverbial canary in the coal mine, alerting us that bad times are coming? Read the rest of this entry »

This offseason has seen an avalanche of activity early on, with 22 of our top 25 free agents signing before Christmas. But last night, we somehow doubled up. After an undisclosed medical issue held up the official announcement of Carlos Correa’s contract with the Giants, the entire deal fell through, and the Mets stepped into the fray, signing Correa to a 12-year, $315 million deal this morning, as Jon Heyman first reported.

I’ll let that breathe for a second so that you can think about it. The Giants went from laying out $350 million and adding a cornerstone player to their roster for more than a decade to nothing at all. The Mets went from a big free agency haul to an unprecedented one. Correa is going from shortstop to third base, and maybe losing one gaudy vacation home in the process when all is said and done.

The Mets had already spent heavily this offseason to shore up their pitching. With Jacob deGrom, Chris Bassitt, and Taijuan Walker all leaving in free agency, the team had a lot of high-quality innings to replace, and they did so in volume, adding Justin Verlander, Kodai Senga, and José Quintana. Those were in effect like-for-like moves, as was signing Edwin Díaz, Adam Ottavino and Brandon Nimmo after they reached free agency. The 2023 Mets stood to look a lot like the 2022 Mets in broad shape – most of their additions were either swaps (deGrom for Verlander) or small (Omar Narváez will be a platoon catcher, David Robertson will shore up the bullpen). Read the rest of this entry »

Last week, I wrote about what I consider to be a key driver in the recent uptick in long-dated contracts: rising interest rates. It was a math-y and abstract article, and I wouldn’t blame you for getting a few paragraphs in, noting the sheer volume of numbers and calculations, and moving on with your life. But if you didn’t do that, hold onto your butts, because it’s time to take the financial angle up a notch.

The main takeaway of that previous article was that when interest rates are high, money in the future is worth less in present value, so teams that look at their books in terms of net present value will perceive long-term contracts as a smaller liability. The easy way of thinking about this is by imagining a team funding a contract upfront by buying bonds and holding them to pay out each future year of a player’s contract. You have to spend much less money today to fund future obligations than you would’ve had to spend if interest rates were much lower, as they were for the entire previous decade.

That’s not realistic, though, because teams don’t pre-fund contracts with treasury bonds. They have better stuff to do with any money sitting around, like buying real estate developments or lobbying senators. Most teams have debt outstanding, too; if they had a huge chunk of change sitting around, they’d look for new investments first, then think about retiring debt, then think about buying out minority owners, and probably prioritize buying treasury bonds only slightly higher than lighting the money on fire. Read the rest of this entry »

Why would you want to add a top-tier shortstop in free agency? I can think of plenty of reasons. Maybe you lost just such a player to free agency this offseason; after all, for every star reaching free agency, there’s a team that employed them in 2022 and now has a hole at the position. Maybe you want to improve a team that’s solid elsewhere but has room to improve at shortstop; the Phillies fit that description exactly and snagged Trea Turner earlier this month. Maybe your plan to promote a top prospect is starting to feel risky; if Aaron Judge had left New York, the Yankees might have replaced some of his production in the form of a slugging shortstop.

Or maybe your team just wants to get better and spend more money to do so. For example:

BREAKING: Cubs and Dansby Swanson have an agreement on a seven-year deal for $177 million, per source. https://t.co/9cmtK9mLzL

— Kiley McDaniel (@kileymcd) December 17, 2022

The Cubs weren’t close to contention in 2022, going 74–88 with underlying numbers that largely agreed with that assessment of their talent. They have interesting players on the major league roster and promising prospects nearing major league debuts, but even if several of those situations worked out, there’s a meaningful gap between 74 wins and the 93 the Cardinals posted to win the division. Heck, there’s a meaningful gap between 74 and 86, the mark the Brewers hit in a down year for them. If Chicago wanted to compete in 2023, it couldn’t sit pat. Read the rest of this entry »