Another Team Joins Clippers With Interest in Nuggets' Peyton Watson

The Denver Nuggets could have another suitor for Peyton Watson to keep on their radar.

Jan 22, 2026; Washington, District of Columbia, USA; Denver Nuggets guard Peyton Watson (8) looks on during the second half against the Washington Wizards at Capital One Arena. Mandatory Credit: Daniel Kucin Jr.-Imagn Images | IMAGN IMAGES via Reuters Connect

Despite being two weeks deep into NBA free agency, the Denver Nuggets have yet to come to a new contract agreement surrounding their breakout forward and restricted free agent, Peyton Watson.

The Nuggets have seemingly valued Watson as a core piece of their future ever since he hit the open market. However, they still have yet to come to terms on a new agreement for his next contract. Watson's camp reportedly wants a number greater than $25 million in AAV, and to this point, Denver hasn't been willing to meet that mark for him.

Because of that lack of a new deal for Watson, it's begun to spark some interest from other teams who could be willing to pay a big contract to the Nuggets' free agent and acquire him via sign-and-trade.

The Los Angeles Clippers have been the primary team outside of Denver linked to Watson most thus far, but there now seems to be another suitor to keep an eye on with an outside shot to make a deal happen: the Atlanta Hawks.

Hawks Emerging as New Suitor for Peyton Watson

According to NBA insider Jake Fischer on The Stein Line, the Hawks have reportedly shown "fresh interest" in signing Watson, along with the Clippers.

Doing so would likely have to happen in a sign-and-trade, which has remained unlikely thus far because of the Nuggets' high asking price for Watson, but has placed Atlanta on the radar as a potential home nonetheless.

"Atlanta, sources say, has also shown some fresh interest in Watson, which would likewise require a sign-and-trade to make it happen," Fischer wrote. "That said, whether it's the Hawks or the Clippers or any other suitor, sources maintain that the Nuggets are seeking compensation on par with what Utah received from the Lakers in their recent sign-and-trade swap that made Walker Kessler a Laker."

It's worth noting that the Hawks would certainly have to acquire Watson via sign-and-trade if they had any true interest whatsoever.

Per numbers from Spotrac, Atlanta has $-7.3 million in maximum possible cap space heading into next season and has used most of their mid-level exception to sign veteran center Jock Landale. That's far from enough flexibility to send Watson an acceptable offer sheet outright.

So if they were willing to extend a hefty contract offer his way, they'd have to free up some financial flexibility of their own while extending worthy enough assets to Denver to even consider the idea. But the chances aren't zero for them to make it happen.

The Hawks Are an Unlikely Suitor, But Not an Impossible One

The Hawks would have to jump through some hoops to make Watson a real possibility, but they do at least have the assets that the Nuggets would be looking for in a potential trade available to offer up.

Atlanta has each of their own first-round picks from 2028 through 2033, and has the worst of either the New Orleans Pelicans or Milwaukee Bucks' first-rounder in 2027. The Hawks also have a handful of intriguing players on their roster to send to Denver, but they might not want to take any contracts in return on their end.

At the very least, the concept of the Hawks taking a serious look at Watson can't be ruled out. But if the Nuggets had it their way, they'd most likely want to keep their restricted free agent forward on the roster for the foreseeable future on a contract value that they deem is worthwhile.

Dec 22, 2025; Denver, Colorado, USA; Denver Nuggets guard Peyton Watson (8) reacts after a play in the third quarter against the Utah Jazz at Ball Arena. Mandatory Credit: Isaiah J. Downing-Imagn Images | IMAGN IMAGES via Reuters Connect

Every indication throughout free agency leading up to now has showcased that the Nuggets value Watson in very high regard, even if they haven't struck a deal on a second contract just yet. He possesses a high ceiling, great two-way versatility, and athleticism that Denver could use in a big way both next season and in the years ahead.

So far, though, striking that deal in restricted free agency has remained a tall task for both the Nuggets and on Watson's side of things. And based on their high asking price in a sign-and-trade, that outcome doesn't appear to be very likely at the moment, though that could always change in due time.

It remains to be seen what comes of the Watson free agent saga in the weeks ahead. Although it does seem like the Nuggets are not alone in their interest to have him on their roster.

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