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overcapitalisation

/ˌəʊ.və.kæp.ɪ.tə.laɪˈzeɪ.ʃən/

1 entry

noun

C1formalcommonbusiness/ˌəʊ.və.kæp.ɪ.tə.laɪˈzeɪ.ʃən/

uncountable

A noun referring to a situation in business where a company has issued more stock or raised more capital than its actual value or earning potential justifies.

  • 🇷🇺Существительное, обозначающее ситуацию в бизнесе, когда компания выпустила больше акций или привлекла больше капитала, чем оправдано её реальной стоимостью или потенциалом доходности.
  1. Excessive capital C1 formal business

    A situation where a company has raised more capital through the sale of stocks or bonds than its operations or assets justify, often leading to reduced returns on investment.

    • The company's overcapitalisation led to lower earnings per share for investors.
    • Analysts warned that the startup's overcapitalisation could dilute shareholder value.
    • Overcapitalisation often occurs when a firm issues too many shares relative to its earning potential.

    🇷🇺Избыточный капитал

  • overcapitalisations plural form
  • overcapitalisations' possessive plural form
  • overcapitalisation's possessive singular form