Kiefer Sherwood has reportedly rejected a contract extension with the San Jose Sharks.
Trouble in paradise?
Not so much.
By all indications, the San Jose Sharks and forward Kiefer Sherwood remain far apart in contract negotiations—and with the Olympic break approaching and the trade deadline looming, the situation is quickly becoming one of the most consequential storylines of the Sharks’ season.
TSN insider Chris Johnston reported this week that while the two sides have held preliminary discussions, there has been little progress toward an extension. At this stage, no deal appears imminent, a concerning development given the assets San Jose surrendered to acquire Sherwood and the role he has carved out since arriving.
Those concerns are amplified by prior reporting from The Athletic, which revealed that Sherwood rejected a four-to-five-year offer worth roughly $4 million annually from the Vancouver Canucks before he was dealt. That benchmark alone suggests the Sharks would need to exceed both the term and the AAV of that proposal to keep Sherwood in teal long-term.
Complicating matters further, Daily Faceoff insider Frank Seravelli has floated a potential comparable contract in the neighborhood of five years at $5.5 million per season. While that figure is not confirmed as Sherwood’s asking price, it underscores the risk facing San Jose. Committing that level of term and cap hit to a player in his late 20s—on the back of a relatively short sample of top-six effectiveness—would represent a significant gamble for general manager Mike Grier.
For a rebuilding club still in the early stages of its competitive arc, such a deal would be difficult to justify. The Sharks may be improved, but even a surprise playoff appearance would almost certainly result in a first-round exit against a heavyweight like Colorado, Vegas, or Edmonton. San Jose is not yet at the stage where overpaying for present-day marginal gains makes organizational sense.
Grier is undoubtedly aware of this reality. And if the gap between the two sides remains unbridgeable, the Sharks may have little choice but to pivot. Trading Sherwood ahead of the deadline—while his value remains high—could allow San Jose to recoup at least one of the second-round picks it parted with to acquire him. It’s not an ideal outcome, but it’s far preferable to losing a valuable asset for nothing at season’s end.
That said, there are compelling reasons to believe common ground can still be found.
San Jose offers Sherwood something few other teams can: opportunity. With emerging cornerstones like Macklin Celebrini and Will Smith driving the Sharks’ next competitive window, Sherwood is positioned to play higher in the lineup than he would on most contending rosters. Those skill sets complement his game, reduce the burden of play-driving, and allow him to thrive as a high-energy, forechecking presence with scoring upside.
Just as importantly, the Sharks have financial flexibility. Unlike many contenders squeezed by the salary cap, San Jose can afford to pay a premium in dollars—if not in risk—to secure a player they’ve targeted for some time and who fills a clear need in their forward group.
Ultimately, the most likely outcome remains an extension.
A deal in the range of five years at approximately $4.75 million AAV strikes a reasonable middle ground. Sherwood would receive long-term security and a substantial raise from his current $1.5 million cap hit, while the Sharks accept slightly more term than ideal to lock in a player who adds pace, physicality, and versatility to their lineup.
It’s a compromise—but one that aligns with San Jose’s future.
