Net present price (NPP) is a way of assessing the value of a racehorse by taking into account its future earning potential and the time value of money. The NPP is calculated by multiplying the expected future winnings of the racehorse by the present value of $1 received in each of those future years. This helps owners, breeders, and trainers to make better judgments with their resources.
What does NPP mean in horse racing?
NPP stands for Net Per Start (NPP) and is a metric used to measure the profitability of a horse in horse racing. It is calculated by taking the total amount of prize money won by a horse and subtracting its total expenses, including training, racing, and transportation costs. The result is then divided by the number of starts the horse has made.
NPP is a useful metric for comparing the profitability of different horses and for identifying horses that are likely to be successful in future races. However, it is important to note that NPP is not a perfect metric and there are a number of factors that can affect it, such as the quality of the competition, the distance of the race, and the track conditions.
The factors of NPP
NPP can be used to compare the profitability of different horses and identify horses that are likely to be successful in future races.
| Horse | NPP |
|---|---|
| Horse A | $10,000 |
| Horse B | $5,000 |
| Horse C | $2,000 |
In this example, Horse A is the most likely to be successful in future races because it has the highest NPP.
NPP in Horse Racing
NPP, or Net Profit per Horse, is a metric used in horse racing to measure the profitability of a horse over its career. It is calculated by subtracting the total amount of money spent on the horse from the total amount of money won by the horse.
Calculating NPP in Horse Racing
The formula for calculating NPP is as follows:
NPP = Total winnings - Total expenses
Total winnings include all purse money, bonuses, and other earnings from races. Total expenses include all costs associated with owning and racing the horse, such as training, feed, transportation, and veterinary care.
| Expense | Description |
|---|---|
| Training | Costs associated with training the horse, including trainers’ fees, track fees, and equipment. |
| Feed | Costs of feeding the horse, including hay, grain, and supplements. |
| Transportation | Costs of transporting the horse to and from races, including vanning fees and fuel costs. |
| Veterinary care | Costs of veterinary care, including routine checkups, vaccinations, and treatment of injuries. |
It is important to note that NPP is a measure of profitability over the horse’s entire career. It does not take into account the horse’s current value or its potential for future earnings.
NPP as a Measure of Performance
NPP, or net profit per race, is a statistic that measures the profitability of a horse in horse racing. It is calculated by taking the horse’s total earnings and subtracting its total expenses, including training, racing, and veterinary costs. The result is then divided by the number of races the horse has run.
NPP can be a useful metric for handicappers to use when evaluating horses. A horse with a high NPP is more likely to be profitable than a horse with a low NPP. However, it is important to note that NPP is just one of many factors that handicappers should consider when making their selections.
Factors that Affect NPP
- The horse’s ability
- The horse’s class
- The horse’s distance
- The horse’s surface
- The horse’s trainer
- The horse’s jockey
How to Use NPP
Handicappers can use NPP to identify horses that are likely to be profitable. However, it is important to remember that NPP is just one of many factors that handicappers should consider when making their selections. Other factors that handicappers should consider include:
- The horse’s past performances
- The horse’s breeding
- The horse’s workouts
- The horse’s equipment
- The race conditions
Example
The following table shows the NPPs of the top three finishers in the 2019 Kentucky Derby:
| Horse | NPP |
|---|---|
| Country House | $1,860,000 |
| Tacitus | $990,000 |
| Improbable | $630,000 |
NPP in Horse Racing
NPP stands for “non-parimutuel pari-mutuel.” It’s a type of wagering allowed in a few states in the United States. NPP wagers are based on the pari-mutuel system, but there are some key differences.
Using NPP for Handicapping
NPP can be used for handicapping in a few different ways. One way is to use it to identify horses that are likely to race competitively in a specific type of race. For example, a handicapper might use NPP data to find horses that have run well in races with similar conditions (such as distance, track type, and field size).
Another way to use NPP is to identify horses that are likely to improve their performance. Handicappers can use NPP data to track horses that have shown improvement in their recent races. These horses may be worth considering for a wager, as they are likely to continue improving.
- Identify horses that are likely to race competitively
- Identify horses that are likely to improve their performance
Here is a table summarizing some of the key differences between parimutuel and NPP wagering:
| Feature | Parimutuel | NPP |
|---|---|---|
| Pool size | Determined by the total amount wagered | Determined by the operator |
| Odds | Calculated based on the amount wagered on each horse | Set by the operator |
| Payouts | Based on the proportion of the pool won by each horse | Based on the odds set by the operator |
Cheers for sticking with me through this ride! I hope you found some useful nuggets of info about what NPP means in horse racing. If you’re ever curious about other racing-related terms, be sure to check back in with me. I’ll be here, saddle up and ready to give you the lowdown. Thanks for reading, and remember, the track is always calling!