overcapitalisation

• Sustantivo que designa la situación en una empresa en la que se ha emitido más capital o acciones de lo que está justificado por su valor real o su potencial de rentabilidad.

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.

incontable

1. Excessive capitalC1formalbusiness

   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.

   Exceso de capital

   • 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.