Why Peyton Watson Should Be Vital to Nuggets' Future Plans

The Denver Nuggets need to hang onto Peyton Watson this offseason.

Jan 13, 2026; New Orleans, Louisiana, USA; Denver Nuggets guard Peyton Watson (8) reacts to making a basket against the New Orleans Pelicans during the fourth quarter at Smoothie King Center. | Matthew Hinton-Imagn Images

Even though Peyton Watson is a restricted free agent this offseason, and is likely expecting a significant pay raise, the Denver Nuggets need to do what they can to keep him.

At just 23 years old, he should be a centerpiece for Denver's future plans, yet the franchise is at risk of losing him this summer. Watson is coming off a breakout 2025-26 campaign, averaging 14.8 points, 4.9 rebounds, 2.1 assists, and 2.0 stocks per game, showcasing why he is a promising two-way talent, and doing so in a contract year.

Nuggets need to keep Watson long-term

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. | Daniel Kucin Jr.-Imagn Images

While Watson has potentially priced himself out of Denver's preferred range this offseason due to his breakout year, the Nuggets have the right to match any offer he gets in free agency. A versatile two-way forward of his caliber is very valuable in the NBA, meaning there will likely be several teams attempting to pry him from Denver.

There have been several contract projections for the young wing, typically ranging between an average of $20 million to $25 million per year. Of course, re-signing Watson is a big commitment for the Nuggets, especially as they look to cut costs this summer, but it is a worthwhile gamble.

Not only is Watson a promising young talent, but he is really Denver's only promising young talent. The Nuggets do not have a single rostered player under the age of 23, meaning the development of Watson could define the future of the franchise.

Peyton Watson self-creation leap pic.twitter.com/6oKZwf5eIr

— Brett Usher (@UsherNBA) January 23, 2026

The expectation this summer is that the Nuggets will re-sign Watson, but will also trade away Cam Johnson in the process to still shed some salary. Ideally, Watson could just replace Johnson in Denver's starting lineup, and honestly, that could be the exact change they need.

As a starter this past season, Watson averaged 17.3 points, 5.3 rebounds, 2.2 assists, 1.0 steals, and 1.2 blocks through 40 games, while shooting 49.9% from the field and 43.0% from three-point range. He took a huge offensive leap, especially as the Nuggets dealt with various injuries that helped him step into a larger role, and it could certainly pay off long-term.

Not only did Watson have a breakout year, but he also thrived alongside Denver's stars. In the 642 minutes that Watson shared the court with Jamal Murray and Nikola Jokic, the Nuggets had a +13.1 net rating, which is the second-best rating of any three-man lineup for Denver this season.

Watson has an obvious role in Denver's lineup, especially as a tertiary creator and one of the team's best defenders. The Nuggets really cannot afford to lose what Watson brings to the team on both sides of the ball, and his spot in their long-term plans should be obvious.

Jokic is not going to be running the show in Denver forever, and the franchise's lack of a young core should be a concern. Keeping Watson, their only rotational player who is 23 or younger, should be an obvious priority, as he is an underrated centerpiece of their future.

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