capitalization
noun
cap·i·tal·i·za·tion
ˌka-pə-tə-lə-ˈzā-shən 
ˌkap-tə-
1
a
: the act or process of capitalizing
b
: a sum resulting from a process of capitalizing
c
: the total liabilities of a business including both ownership capital and borrowed capital
d
: the total par value or the stated value of no-par issues of authorized stock
2
: the use of a capital letter in writing or printing
Examples of capitalization in a Sentence
Recent Examples on the Web
However, when Bumble’s capitalization slipped to below $2 billion, her fortune also plummeted.
—
Lea Veloso, StyleCaster, 19 Sep. 2025
While most asset classes stand to benefit from easier monetary policy, which can spur economic growth and higher profits, stocks with smaller capitalizations stand to benefit the most, Canaccord Genuity wrote in a note earlier this month.
—Lisa Kailai Han, CNBC, 17 Sep. 2025
Keep contemporaneous evidence of intent and commercial substance, monitor capitalization and third‑party borrowing alternatives, and assess the ripple effects of a possible reclassification on reporting obligations like Forms 5471, 8621, 8938 and FBAR.
—Virginia La Torre Jeker, Forbes.com, 13 Sep. 2025
Let that be a lesson in innovation in the hope of capitalization.
—Noah White, Miami Herald, 7 Sep. 2025
See All Example Sentences for capitalization
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Lea Veloso, StyleCaster, 19 Sep. 2025
While most asset classes stand to benefit from easier monetary policy, which can spur economic growth and higher profits, stocks with smaller capitalizations stand to benefit the most, Canaccord Genuity wrote in a note earlier this month.
—Lisa Kailai Han, CNBC, 17 Sep. 2025
Keep contemporaneous evidence of intent and commercial substance, monitor capitalization and third‑party borrowing alternatives, and assess the ripple effects of a possible reclassification on reporting obligations like Forms 5471, 8621, 8938 and FBAR.
—Virginia La Torre Jeker, Forbes.com, 13 Sep. 2025
Let that be a lesson in innovation in the hope of capitalization.
—Noah White, Miami Herald, 7 Sep. 2025
See All Example Sentences for capitalization
Cite this Entry
“Capitalization.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/capitalization. Accessed 23 Sep. 2025.
Copy CitationLegal Definition
capitalization
noun
cap·i·tal·i·za·tion
ˌka-pət-ᵊl-ə-ˈzā-shən, -ᵊl-ī-
1
: the act or process of capitalizing
capitalization of earnings
2
: a sum resulting from a process of capitalizing
3
: total capital liabilities of a business including both equity capital and debt capital
Note: Equity capital is considered a liability because the investors may recall some or all of it (as by redeeming stock). Inadequate capitalization of a business is considered by courts in cases dealing with equitable subordination of creditors or piercing the corporate veil.
4
: the total par value or the stated value of no-par issues of authorized capital stock
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