The New York Knicks could now be worth $3 billion.

So says Rich Tullo, analyst at Albert Fried & Company, which made the comment as part of a note issued Friday morning to announce the research company was revising its price target for Madison Square Garden stock upward to $85 a share.

Tullo wrote that the Knicks, he believes, are now worth between $1.4 billion and $3 billion "based on percent premiums of recent sales prices paid for franchises such as the L.A. Clippers ($2 billion), the Bucks ($550 million) and New Orleans ($338 million)."

Last week, former Microsoft CEO Steve Ballmer agreed to buy the Clippers from the Sterling family for a record $2 billion. Forbes magazine previously had assessed the team's value at $545 million.

"While much of the Clippers premium is excessive in our view, we think the bid does suggest the market for iconic sports franchises is robust," Tullo wrote. "We argue despite the recent sale value, intrinsically the New York Knicks as part of MSG are worth at least 50 percent more than the Clippers because MSG operates a regional sports network and owns its arena."