The Hawks remain interested in Peyton Watson, but Atlanta's position near the luxury tax line could complicate a potential sign-and-trade.
The Atlanta Hawks and Milwaukee Bucks could face challenges in acquiring Denver Nuggets forward Peyton Watson.
The Hawks have been linked to Watson in a potential sign-and-trade. However, his reported $28 million asking price could be expensive for the franchise.
ESPN's Brian Windhorst spoke on The Hoop Collective Podcast on Aug. 11 about the Hawks' and Bucks' chances of landing Watson.
Windhorst reported that acquiring Watson may be difficult for both teams because they intend to remain below the luxury tax line. Teams that go over the tax line have to pay additional penalties.
Peyton Watson Deal Could Push Hawks Toward Tax Line
The Nuggets are in a stalemate with Watson, who is currently a restricted free agent. Denver can match any offer sheet he signs with another team.
Last season, Watson averaged 14.6 points, 4.9 rebounds, and 2.1 assists while shooting 49.1% from the field and 41.1% from three.
NBA correspondent Marc Stein reported on Aug. 11 that the Clippers and Bucks are the "most credible" external suitors for Watson.
Atlanta remains in contention, but the Hawks do not have much room below the luxury tax line. Windhorst reported that Atlanta is $3.8 million below the line, while Milwaukee sits $8.1 million below it.
That could make the structure of any potential Watson deal important for Atlanta.
Hawks Have to Balance Watson With Long-Term Flexibility
The mantra for Hawks general manager Onsi Saleh has been building organically and making wise additions. Before the 2026 NBA Draft, he said the franchise was focused on building the roster organically.
The franchise also still needs to decide whether it is going to extend Luguentz Dort and for how much.
Last season, Atlanta made the postseason, where it lost to the now-NBA champion New York Knicks. The Hawks will enter the 2026-27 season with more experience under their belt and expectations to advance to the second round of the postseason.
Right now, if the season started today, the starting lineup could consist of CJ McCollum, Nickeil Alexander-Walker or Dyson Daniels, Dort, Jalen Johnson, and Onyeka Okongwu.
The second rotation could feature Kingston Flemings or Ryan Nembhard, Aaron Wiggins, Dort, Corey Kispert, and Jock Landale.
As constructed, the Hawks have trade assets along with young talent that can be developed.
Atlanta has a chance to reach the postseason for the second consecutive season. The roster has flexibility and depth that can grow over time.
Watson could give the Hawks more versatility on the court, but his asking price could affect the organization's roster flexibility down the road.
