Marquee Asset

DEFINITION of 'Marquee Asset'

A company's most prized asset, one that is a highly visible symbol of its success and often the biggest contributor to its bottom line. A company with a coveted marquee asset may become a target for a bigger rival, or one with deep pockets, even if the other assets in its portfolio do not amount to much.


Also referred to as a "flagship asset" or "crown jewel."

BREAKING DOWN 'Marquee Asset'

Marquee assets are generally a feature of smaller companies with limited assets, in areas such as resources and biotechnology, rather than large, diversified companies. Examples of marquee assets are a mineral property with significant mineable resources for a junior exploration company, or a drug with sales in the hundreds of millions of dollars for a relatively small biotechnology firm.


A company would generally be unwilling to part with its marquee asset unless it's in dire financial straits. Therefore, since a healthy company with a marquee asset runs the risk of a hostile takeover, it may seek to preempt this risk through a "crown jewels" maneuver, which would compel the sale of the marquee asset in the case of a hostile bid.




RELATED TERMS
  1. Sale Of Crown Jewels

    A takeover-defense tactic that involves the sale of the target ...
  2. Crown Jewels

    The most valuable unit(s) of a corporation, as defined by characteristics ...
  3. Permanent Current Asset

    The minimum amount of current assets a company needs to continue ...
  4. Identifiable Asset

    An asset of an acquired company that can be assigned a fair value ...
  5. Asset Acquisition Strategy

    The purchase of a company by buying its assets instead of its ...
  6. Asset Condition Assessment

    A report outlining how an organization can manage capital assets ...
Related Articles
  1. Investing Basics

    What's an Asset?

    An asset is a resource with economic value.
  2. Investing Basics

    What is a Real Asset?

    A real asset is a physical asset that has value.
  3. Savings

    Assessing Bank Assets: Are Your Savings Safe?

    Learn how to determine if your assets are safe or if your bank has spread itself too thin.
  4. Investing

    Asset Turnover Ratio

    Investopedia explains: The asset turnover ratio is a measure of a company's ability to use its assets to generate sales or revenue, and is a calculation of the amount of sales or revenue generated ...
  5. Investing Basics

    Explaining Financial Assets

    A financial asset is intangible property that represents a claim on ownership of an entity or contractual rights to future payments.
  6. Fundamental Analysis

    Calculating Return on Net Assets

    Return on net assets measures a company’s financial performance.
  7. Economics

    Understanding Capital Assets

    A capital asset is one that a company plans on owning for more than one year, and uses in the production of revenue.
  8. Options & Futures

    6 Asset Allocation Strategies That Work

    Your portfolio's asset mix is a key factor in whether it's profitable. Find out how to get this delicate balance right.
  9. Investing Basics

    Explaining Assets Under Management

    Assets under management is a metric that measures the market value of assets that an investment company manages for investors.
  10. Forex Education

    3. Know The Non-Current Assets

    Learning to read the balance sheet can provide great insight into the financial strength of a company.
RELATED FAQS
  1. Are stocks real assets?

    Learn why stocks are classified as financial assets, not real assets. Understand the properties that determine whether an ... Read Answer >>
  2. What is the difference between current assets and fixed assets?

    Learn what current assets and fixed assets are, examples of current and non-current assets, and the differences between these ... Read Answer >>
  3. Are current assets liquid or capital?

    Take a deeper look at liquid current assets for businesses and individuals, and learn how they differ from other types of ... Read Answer >>
  4. What is the difference between a fixed asset and a current asset?

    Discover the difference between fixed assets and current assets and the value of each to a company. Learn the category and ... Read Answer >>
  5. What is the difference between fixed assets and current assets?

    Learn the differences between fixed assets such as land and current assets such as cash, as well as how these types of assets ... Read Answer >>
  6. How can a company raise its asset turnover ratio?

    Find out more about the asset turnover ratio, what it measures, how to calculate the ratio and how a company could increase ... Read Answer >>
Hot Definitions
  1. Goodwill

    An account that can be found in the assets portion of a company's balance sheet. Goodwill can often arise when one company ...
  2. Return On Invested Capital - ROIC

    A calculation used to assess a company's efficiency at allocating the capital under its control to profitable investments. ...
  3. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  4. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  5. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  6. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
Trading Center