
The Cleveland Cavaliers agreed to a sign-and-trade for Peyton Watson of the Denver Nuggets Wednesday, in hopes that they've finally found their small forward of the future.
Watson gets $88M over four years from the Cavs, who had to sacrifice two draft picks and their previous small forward of the future, Max Strus. It's a move that reloads the Eastern Conference finalists while costing them their final tradable first-round pick.
For the last few seasons, the Cavaliers have had current and future All-Stars at four of their starting positions, with the exception of small forward. Donovan Mitchell, Evan Mobley and Jarrett Allen have all made All-Star teams, as did Darius Garland before he was traded for 11-time All-Star James Harden last season.
But finding a fifth wheel has been a constant struggle for the Cavs. They used the No. 5 pick on Isaac Okoro in 2020, but he never developed an offensive game. In 2022, they traded for Caris LeVert, but he wasn't a good enough outside shooter to pair with Mobley and Allen.
They gave Strus four years and $62.3M in a sign-and-trade in 2023, then traded LeVert and Georges Niang for De'Andre Hunter at the 2025 deadline. They used a first-round pick on Jaylen Tyson in 2024 and dumped Hunter for Keon Ellis and Dennis Schroder last season.
All told, the Cavaliers devoted two first-round picks to small forwards while trading two firsts and four second-rounders without finding a solution. After giving up another second and a first for Watson, they have to hope the almost-24-year-old finally fills their hole at the three.
BREAKING: Cleveland, Denver and the Clippers have agreed on a trade sending Peyton Watson to the Cavaliers, Max Strus to LA, and an unprotected 2031 Cavs first-round pick and a 2032 Kings second-rounder to the Nuggets, sources tell ESPN.
— Shams Charania (@ShamsCharania) August 19, 2026
Watson will sign a new four-year, $88… pic.twitter.com/hXqL3JvsU4
Watson had his best NBA season in 2025-26, averaging 14.6 points, 4.9 rebounds, 1.1 blocks and 0.9 steals, while averaging 1.5 three-pointers on 41.1 percent shooting from deep. He also played just eight games after January thanks to a hamstring injury, meaning the Cavs are betting big on Watson based on an 18-game stretch before the injury. He was excellent, averaging 21.3 points and going 45.7 percent from behind the arc, but it's a level of performance he hadn't reached before.
That could mean Watson is about to make a leap, especially since the hot stretch came primarily with Nikola Jokic out with an injury. It's still a big risk for Cleveland.
It's also a risk they probably needed to take. They simply couldn't hang with the champion New York Knicks in the playoffs. Strus couldn't stay healthy the last two seasons, while the Cavs may need Tyson to back up both guard slots next season.
With the team committed to Mitchell and Mobley long-term, the ideal version of Watson could cover for both their weaknesses — defense and outside shooting, respectively. It'll have to, since the Cavaliers don't have any more picks to trade.
It cost the Cavaliers a lot to get younger and upgrade at small forward again. Time will tell if Watson can finally stop the revolving door at small forward.
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