dilute
verb [ T ]
uk/daɪˈluːt/ usto make something less strong or less valuable:
Our recent acquisitions are going to dilute earnings in the next few years.
The rise in foreclosures is likely to dilute real estate prices.
FINANCE
to make a company's shares less valuable by increasing the total number of shares, so that each shareholder gets a smaller part of the profit and owns a smaller percentage of the company than before:
The company's share issue will increase the number of shares on the market, diluting their value and upsetting current stockholders.
diluted shares/stock
dilutive
adjective
In the short-term, this strategy will be dilutive to earnings.