overcapitalized


Also found in: Thesaurus, Financial.

o·ver·cap·i·tal·ize

 (ō′vər-kăp′ĭ-tl-īz′)
tr.v. o·ver·cap·i·tal·ized, o·ver·cap·i·tal·iz·ing, o·ver·cap·i·tal·iz·es
1. To cause (a company) to have an excess amount of capital.
2. To estimate the value of (property) too highly.

o′ver·cap′i·tal·i·za′tion (-ĭ-zā′shən) n.

overcapitalized

(ˌəʊvəˈkæpɪtəˌlaɪzd) or

overcapitalised

adj
1. (Accounting & Book-keeping) (of an enterprise) provided for or issued capital in excess of profitable investment opportunities
2. (Accounting & Book-keeping) (of a company) having an estimated capital value at an unreasonably or unlawfully high level
3. (Accounting & Book-keeping) (of a property) overestimated in market value
References in periodicals archive ?
The letter states, among other things: "PDL is grossly overcapitalized - the company currently has $375M in cash, an additional $400M+ in expected royalty cash flow through 2022, and low working capital requirements.
Since its inception in 1940, the fishery operated under an open-access scheme, leading to an overcapitalized fishery currently exploited to the maximum sustainable level (DOF, 2012).
Within DoD, we have overcapitalized, on what I would call--the diversity of goodness.
"It is certainly not possible to characterize (Trillium) as overcapitalized based on commercial insurance regulatory standards," the memo said.
In the Florida Gulf, stone crabs support a vigorous commercial fishery that is overcapitalized and overfished (Muller et al.
Taxpayers whose prior years' methods of accounting for repairs and improvements do not comply with the final regulations may have exposure for those years and later years in which the taxpayers claim depreciation on the overcapitalized amounts.
"Under race for fish conditions that result in short annual seasons, the processing industry (along with fisheries) can become overcapitalized to handle the glut of fish in short periods." But catch-share management programs tend to lengthen and stabilize fishing seasons, allowing for more efficient processing capacity.
benefits is overcapitalized into the price of a home by inattentive
The report said the formation of Berkshire Hathaway Specialty Insurance in the second quarter of 2013 "adds tremendous capacity to an already overcapitalized market, which will likely limit rate hikes and lead to more intense competition in 2014."
Callahan & Associates then-President Chip Filson was also very vocal on the topic in 2013, saying in a July 25 release that the NCUA Guaranteed Notes were already overcapitalized by 149%, to the tune of $10 billion in excess coverage.
Reserve redundancy is beginning to climb again, however, and the industry remains overcapitalized. Many companies are sitting on cash that needs to be deployed.