The Premier League side, who have a brand value of £175million, had led the table for the last four years, but as a result of the weakening pound against the US dollar, have lost their top spot to the Yankees, according to a list released by Forbes magazine.
The only other English club to make the top ten were Arsenal, who came in at eighth spot with a brand value of US$158 million, despite their lacklustre start to their Premier League campaign.
However, it was not all doom and gloom for the club's American owners, as United were announced as the most valuable sports team in the world at £1.16 billion by Forbes though, beating NFL team Dallas Cowboys and the New York Yankees to the of the list.
The Red Devil's advertising revenue was significant in their overall valuation, as a result of their £80 million, four-year deal with shirt sponsor Aon and a £302.9m, 13-year deal with Nike.
The list was dominated by US sports American football and baseball, with two Formula 1 entries - Ferrari at £626 million, and McLaren at £506 million, with several of Europe's footballing elite making an appearance as well.
Bundelisga giants Bayern Munich made 19th position, valued at £640 million, La Liga's Barcelona at 26th with £605 million, and Serie A clubs AC Milan 34th at £520 million, with Juventus on 49th after being valued at £390 million.