Edmonton Oilers fans can breathe a little easier today. The front office and Connor McDavid have agreed to a two-year contract extension. This will keep the best player in the league in Edmonton through the 2027-28 season. While the Oilers are happy to have a deal done, this contract may not result in perfect grades for each side.
Rumors out of Edmonton were that McDavid could sign a short-term deal with the team on a team-friendly contract. Then, the new contract for Kirill Kaprizov came out, making Kaprizov the highest-paid player in the NHL. With McDavid being in the final year of his contract, and the front office wanting to make sure its top player did not hit free agency, there was the possibility that the contract could have increased in value.
McDavid chose to go with a short-term deal. The pact is only two years, with an average annual value of $12.5 million per season. That is the same AAV he was receiving when he signed a mammoth eight-year, $100 million extension in the summer of 2017.
Connor McDavid contract grade
“He can command whatever he wants in his next contract. It’s a blank cheque from the Oilers. It’s McDavid who decides what he makes next if he decides to sign an extension in Edmonton. Just don’t be surprised if it’s not for as much as Kaprizov’s $17 million,” Pierre LeBrun of The Athletic wrote in regards to a potential contract for McDavid.
McDavid decided on $12.5 million. On the positive side, this is a short-term deal. The Canadian forward will be a free agent again heading into the summer of 2028. Further, negotiations on another extension can begin in the summer of 2027 if the two sides decide to pursue that route once again.
The contract expiration also lines up with Zach Hyman, and it is just a year before Evan Bouchard and Ryan Nugent-Hopkins see their contracts come to an end. If the goal for McDavid is winning, he has given the franchise flexibility to sign other players while keeping the core together. He has also put a deadline on the team. The Oilers now have three years to finally lift that Cup, and if not, McDavid could start breaking up this core that has lost back-to-back years in the Stanley Cup Final.
While the future Hall of Famer now has control over his immediate future, he also left money on the table. The captain is getting paid the same amount as he was in the past seven seasons, and will be receiving this year. McDavid probably could have commanded over $20 million per year. Also, this is essentially a pay cut. When the original eight-year deal was signed, the forward was taking up 15.7% of the cap. In the final year of this new deal, he will account for just 11% of the cap.
While McDavid left money on the table, it will not matter if the Oilers win the Stanley Cup. If they don't, though, McDavid took a major financial gamble that, in hindsight, would not have paid off.
Final grade for Connor McDavid: B+
Edmonton Oilers contract grade
Any deal that allows a franchise to retain the best player in the world is solid. McDavid has amassed over 100 points in nine of the last 10 seasons. His only miss was the 2019-20 campaign. The COVID-19 pandemic shortened that season, and he registered just 97 points. Furthermore, he has scored 20 or more points in the playoffs each of the last four years. That includes a record-breaking 34 assists in the 2024 playoffs.
To get him at this price is a major bargain for the team. This deal keeps McDavid as the second-highest-paid player on his own team. In the first season of the deal, he will be the fifth-highest paid in the league. For a player of this magnitude, the team saved multiple millions of dollars that can now be put to use elsewhere. The Oilers are projected to have $22 million in cap space next summer, which can be used to re-sign other players or upgrade positions, such as goaltender.
Still, the length of the contract is not the best for Edmonton. Under the current collective bargaining agreement, the team could have negotiated a contract that was up to eight years in length. That would have kept McDavid in Edmonton through the 2035-36 season. Instead, he will be around through the 2027-28 season. Then, the team can only sign him for seven years on an extension under the new CBA — if that's what No. 97 chooses to do.
While the Oilers did not lock up McDavid for a long time, they still have three seasons with him, and look to capitalize on that time by bringing Canada its first Stanley Cup since 1993.
Final grade for the Oilers: A
