The Texans’ offensive success in 2023 included a breakout year for Nico Collins. The ascending wideout has landed a lucrative new deal as a result. 
Collins and the Texans have agreed to a three-year extension, Dianna Russini of the Athletic reports. This pact will keep him on the books through 2027. Providing further details, ESPN’s Adam Schefter notes the deal has a base value of $72.75MM which can max out at $75MM. $52MM is guaranteed, and Aaron Wilson of KPRC2 adds Collins will collect a $17MM signing bonus.
The 25-year-old had a modest start to his career as a member of a low-output Texans passing game. Collins nevertheless showcased his potential as a deep threat in particular during that time, and expectations were raised with C.J. Stroud‘s arrival last year. The two formed a productive partnership in 2023, with Collins posting 1,297 yards and eight touchdowns on 80 catches.
With an annual average value of $24.25MM, this agreement is a strong indication the Texans feel Collins can continue to develop into a focal point on offense. The Michigan product was the team’s top option at the receiver position for much of the 2023 season, although Stroud initially showed a strong connection with third-round rookie Tank Dell. The latter’s season-ending injury paved the way for Collins to take on a larger role, and he will now be expected to remain a top producer.
A February report indicated a mutual interest existed between team and player in Collins’ case. Since then, Houston has acquired Stefon Diggs via trade, a move which adds a four-time Pro Bowler to the mix. Diggs has received at least 149 targets in five of the past six years, and it will be interesting to see how he fits in an offense returning Collins, Dell and tight end Dalton Schultz. The Texans signed Schultz to a three-year deal of his own this offseason, and Collins will join him as a member of the team’s long-term offensive plans.
Dell – who is recovering from a minor gunshot wound suffered this offseason – is on the books for three more years via his rookie pact. With he and Stroud under team control for years to come, Houston can afford to make investments such as this one. Diggs is due just over $22.5MM in 2024 before hitting free agency. Especially if he were to depart next year, Collins would comfortably reside as the Texans’ highest-paid receiver.
This deal will slot the former third-rounder into seventh in the NFL in terms of annual average compensation amongst receivers. The top of the market has been on an upward trajectory with recent deals, and number of ascending talents at the position are set to move the bar even higher in the near future. Collins has understandably not moved to the top of the pecking order, but his 2023 production has vaulted him near the league’s top earners at a premium position.