Lakers Emerge as Surprise Suitor for Nuggets’ Peyton Watson

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The Denver Nuggets could be in danger of losing pending restricted free agent forward Peyton Watson later this offseason––at least if you were to ask rival executives around the league.
And of those teams that could be interested, according to recent rumors, one could be none other than the Los Angeles Lakers.
The buzz around the Nuggets forward comes from NBA insider Jake Fischer of The Stein Line, who had a recent report detailing the rumors revolving around Watson and his pending free agency this summer, where the Lakers managed to come up as a team linked as a suitor who could take an interest.
"It must be said, though, that rival executives are increasingly curious about Denver's likely struggles to retain Peyton Watson this summer given the fourth-year swingman's recent breakout play amid all of the Nuggets' health woes. We'll certainly be tracking this situation over the coming months, since Watson's restricted free agency is already shaping up to become a major domino of the offseason," Fischer wrote.
"Sources say teams that are projected to have cap space — notably such as the Lakers — are already preparing interest."
Lakers Linked to Peyton Watson Ahead of Restricted FA
Watson has been one of the Nuggets' most pleasant surprises throughout the course of the 2025-26 campaign, having been on track for the best season of his career within his four years pro while the team has been dealing with its consistent injury woes.
During his 44 games played this season, Watson has had career-best numbers across the board: 14.4 points, 5.0 rebounds, and 1.9 assists while shooting an efficient 49.9% clip from the field, 41.1% from three, and 74.2% from the line.
That production comes at a perfect time, considering Watson is just a few months away from hitting restricted free agency this offseason, and is bound to get a nice payday his way because of it. Opposing teams will have paid attention, and if they have cap space, could be willing to spend big for his services.
However, that rise in value for Watson could also mean bad news for the Nuggets.

When factoring in their historical hesitancy to pay the luxury tax for their roster, combined with the hefty contracts to be paid for Nikola Jokic, Jamal Murray, Aaron Gordon, and Christian Braun over the coming seasons, the accounting surrounding Peyton Watson and a long-term, big contract becomes a bit complicated.
Sure, the Nuggets will be able to match any offer in free agency that comes Watson's way, and they'll have his full Bird rights. The value on his next deal feels almost certain to take Denver above that luxury tax line, and could raise additional questions for the front office on how to approach the rest of their roster.
The Lakers, of the mix of the teams that could be interested in pursuing Watson, provide an interesting fit.
They'll have around $38 to $47 million in free cap space, will likely be without LeBron James next season, therefore having a hole on the wing, and with the type of season the Nuggets' forward has been having this year with an expanded role, offering up a big-time contract in his direction might not be outlandish to imagine.
As long as Watson keeps up at his current level, it proposes some interesting questions for the Nuggets heading into this offseason when tasked with signing him to a second contract, and inevitably could leave re-signing him to a new deal a bit easier said than done.
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Jared Koch is a sportswriter and editor covering the NFL and NBA for the On SI network since 2023.