Company Overview
Pearson plc provides educational courseware, assessments, and services in the United Kingdom, the United States, Canada, the Asia Pacific, other European countries, and internationally. It operates through five segments: Assessment & Qualifications, Virtual Learning, English Language Learning, Enterprise Learning & Skills, and Higher Education. The Assessment & Qualifications segment offers pearson professional assessments, US student assessment, clinical assessment, UK GCSE, and A levels and international academic qualifications and associated courseware, including the English-speaking Canadian and Australian K-12 businesses, and PDR. The Virtual Learning segment provides virtual schools and online program management. The English Language Learning segment offers Pearson test of English, institutional courseware, and English online solutions. The Enterprise Learning & Skills segment provides vocational qualifications, GED, TalentLens, Faethm, Credly, Pearson College, and Enterprise content and training. The Higher Education segment engages in the US, Canadian, and international higher education courseware businesses. Pearson plc was founded in 1844 and is headquartered in London, the United Kingdom.
Why Investors Should Care
Net profit has compounded at 11.5% per year over the last five years.
Offers a dividend yield of 2.21%.
Generates positive free cash flow, funding growth and shareholder returns internally.
Recent Developments
- Dec 2025 Revenue of $3.58B (+0.7% YoY); net profit $335.00M.
- Trailing 12 Months Year-on-year growth — revenue +3.3%, earnings -2.9%.
- 5-Year Trend Long-term compounding — revenue CAGR -2.4%, profit CAGR 11.5%.
Growth & Price Performance
Compounded Sales Growth
| 5 Years: | -2.35% |
| 1 Year: | 3.30% |
Compounded Profit Growth
| 5 Years: | 11.45% |
| 1 Year: | -2.90% |
Stock Price Performance
| 1 Year: | +10.63% |
| 6 Months: | +21.88% |
| 3 Months: | +2.12% |
| 1 Month: | -4.15% |
Highlights auto-generated from reported financials and price data; not investment advice. Verify with official filings before acting.
- Price vs 50-DMABelow
- Price vs 200-DMAAbove
- RSI (14)36.31 · Neutral
P/E of 23.39 is above the sector median of 16.99 — pricier than peers.
Auto-generated from price history and fundamentals; not investment advice.
Price Chart
Technical Trend
Computed from daily close history using EMA cross, slope, and RSI signals.
Note: intraday data is not stored locally. “Hourly” uses the most recent 10 daily candles as a short-term proxy.
Fundamental Growth Charts
No fundamental data available for this stock.
Interactive charts for Revenue, Net Income, EBITDA, Free Cash Flow, EPS, ROE, ROCE, Gross/Net/Operating Margin and more — switch metric and period using the dropdowns above. CAGR is computed across the displayed window (quarterly CAGR is annualised). Visual growth charts make it easy to spot multi-year compounding trends at a glance — far faster than reading raw numbers in a table.
PROS
- Profit CAGR of 11.5% over 5 years.
- Generates positive free cash flow.
- In a confirmed uptrend (50-DMA above 200-DMA).
CONS
- Revenue declined at -2.4% CAGR over 5 years.
* The pros and cons are auto-generated from financial metrics.
Valuation
Growth (CAGR)
Profitability & Returns
Balance Sheet & Liquidity
Ownership
Financial Snapshot
Peer comparison
Peer companies in the same sector (Communication Services).
| # | Name | CMP $ | P/E | Mkt Cap | Div Yld % | ROCE % | ROE % | Rev CAGR 5Y % | Profit CAGR 5Y % |
|---|---|---|---|---|---|---|---|---|---|
| 1 | PSO Pearson plc | 15.67 | 23.39 | $9.43B | 2.21% | 11.25% | 9.16% | -2.35% | 11.45% |
| 2 | GOOGL Alphabet Inc. NDXSPXR3KAITECH | 338.36 | 16.97 | $1.99T | 0.25% | 26.20% | 48.68% | 17.96% | 21.53% |
| 3 | META Meta Platforms, Inc. NDXSPXR3KAITECH | 613.48 | 23.12 | $1.35T | 0.31% | 25.69% | 29.85% | 19.89% | 37.61% |
| 4 | NFLX Netflix, Inc. NDXSPXR3KAI | 76.77 | 24.14 | $319.67B | 0.00% | 29.87% | 49.54% | 22.30% | 32.79% |
| 5 | VZ Verizon Communications Inc. SPXR3K | 50.41 | 13.13 | $209.44B | 5.86% | 8.56% | 15.84% | 2.33% | 6.90% |
| 6 | TMUS T-Mobile US, Inc. NDXSPXR3K | 181.69 | 19.03 | $194.89B | 2.45% | 9.39% | 17.99% | 22.63% | 28.77% |
| 7 | DIS The Walt Disney Company SPXR3K | 105.06 | 21.66 | $181.41B | 1.43% | 10.74% | 8.01% | 6.96% | 4.12% |
| 8 | T AT&T Inc. SPXR3K | 25.60 | 8.45 | $175.42B | 4.37% | 6.59% | 18.34% | 0.31% | 3.44% |
| 9 | SPOT Spotify Technology S.A. R3KAITECH | 528.64 | 28.81 | $108.70B | 0.00% | 24.61% | 44.48% | 13.59% | - |
Financial Statements Quarterly Results · Profit & Loss · Balance Sheet · Cash Flows · Ratios
Profit & Loss (Annual)
Figures in USD.
| Metric | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Revenue | - | 3.84B | 3.67B | 3.55B | 3.58B |
| Cost of Revenue | - | 2.05B | 1.84B | 1.74B | 1.72B |
| Gross Profit | - | 1.79B | 1.83B | 1.81B | 1.86B |
| Operating Expenses | - | 1.40B | 1.32B | 1.27B | 1.26B |
| Operating Income | - | 396.00M | 513.00M | 544.00M | 596.00M |
| EBITDA | - | 1.01B | 1.10B | 1.11B | 1.10B |
| Interest Expense | - | 69.00M | 61.00M | 79.00M | 75.00M |
| Pretax Income | - | 323.00M | 493.00M | 510.00M | 457.00M |
| Tax Provision | - | 79.00M | 113.00M | 75.00M | 121.00M |
| Net Income | - | 242.00M | 378.00M | 434.00M | 335.00M |
| Diluted EPS | - | 0.33 | 0.53 | 0.64 | 0.51 |
Balance Sheet (Annual)
Figures in USD.
| Metric | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Total Assets | - | 7.32B | 6.73B | 6.89B | 6.46B |
| Current Assets | - | 2.82B | 2.43B | 2.73B | 2.32B |
| Cash & Equivalents | - | 558.00M | 312.00M | 543.00M | 333.00M |
| Inventory | - | 105.00M | 91.00M | 74.00M | 66.00M |
| Receivables | - | 824.00M | 694.00M | 605.00M | 651.00M |
| Total Liabilities | - | 2.91B | 2.74B | 2.84B | 2.79B |
| Current Liabilities | - | 1.48B | 1.40B | 1.48B | 1.16B |
| Long Term Debt | - | 610.00M | 611.00M | 705.00M | 1.00B |
| Total Debt | - | 1.23B | 1.16B | 1.47B | 1.48B |
| Total Equity | - | 4.40B | 3.97B | 4.04B | 3.65B |
| Shares Outstanding | - | 715.73M | 697.30M | 666.26M | 635.81M |
Cash Flows (Annual)
Figures in USD.
| Metric | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Operating Cash Flow | - | 361.00M | 525.00M | 627.00M | 656.00M |
| Investing Cash Flow | - | 13.00M | -301.00M | -131.00M | -243.00M |
| Financing Cash Flow | - | -804.00M | -450.00M | -241.00M | -609.00M |
| Capital Expenditure | - | -147.00M | -126.00M | -124.00M | -134.00M |
| Free Cash Flow | - | 214.00M | 399.00M | 503.00M | 522.00M |
| Net Change in Cash | - | -430.00M | -226.00M | 255.00M | -196.00M |
Ratios (Annual)
Figures in %.
| Metric | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Gross Margin % | - | 46.7% | 49.9% | 51.0% | 52.0% |
| Operating Margin % | - | 10.3% | 14.0% | 15.3% | 16.7% |
| Net Margin % | - | 6.3% | 10.3% | 12.2% | 9.4% |
| ROE % | - | 5.5% | 9.5% | 10.7% | 9.2% |
| ROCE % | - | 6.8% | 9.6% | 10.0% | 11.3% |
Shareholding Pattern
Top Institutional Holders
| # | Holder | % Held | Shares | Value |
|---|---|---|---|---|
| 1 | Morgan Stanley | 0.80% | 4.83M | $75.92M |
| 2 | Blackrock Inc. | 0.47% | 2.83M | $44.48M |
| 3 | Goldman Sachs Group Inc | 0.42% | 2.52M | $39.54M |
| 4 | LMR Partners LLP | 0.23% | 1.37M | $21.57M |
| 5 | Dimensional Fund Advisors LP | 0.17% | 1.01M | $15.91M |
| 6 | Northern Trust Corporation | 0.14% | 816.37K | $12.83M |
| 7 | Invesco Ltd. | 0.14% | 834.39K | $13.11M |
| 8 | Connor Clark & Lunn Investment Management Ltd | 0.11% | 675.77K | $10.62M |
| 9 | BNP Paribas Financial Markets | 0.11% | 663.78K | $10.43M |
| 10 | Quantinno Capital Management, LP | 0.11% | 644.38K | $10.12M |
Analyst View
Analyst aggregate. Targets and ratings update periodically; not investment advice.
Latest News
Recent headlines for PSO
All You Need to Know About Pearson (PSO) Rating Upgrade to Buy - finance.yahoo.com
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Pearson and Illinois Tech to Explore Employability Pathways and Workforce-Focused Learning Credentials - Stock Titan
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Pearson Stock Price Forecast. Should You Buy PSO? - StockInvest.us
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Bank of America Corp DE Decreases Holdings in Pearson, PLC $PSO - marketbeat.com
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Pearson: Textbooks Are Going To Digital Education, But Hold For Now - Seeking Alpha
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Pearson plc (PSO) Stock Rises on Q2 2026 Earnings - Quiver Quantitative
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PSO — Frequently Asked Questions
What is the current share price of Pearson plc (PSO)?
As of 2026-09-19 21:16 PDT, Pearson plc (PSO) trades at $15.67 on NYSE. Its 52-week range is $11.76 to $17.52.
What is the market capitalisation of PSO?
Pearson plc (PSO) has a market capitalisation of $9.43B on NYSE.
What is the P/E ratio of PSO?
PSO trades at a trailing price-to-earnings (P/E) ratio of 23.39. The industry average P/E is 16.99. Its price-to-book (P/B) ratio is 2.13.
Does PSO pay a dividend?
Pearson plc (PSO) currently offers a dividend yield of 2.21%.
What is the return on equity (ROE) of PSO?
PSO has a return on equity (ROE) of 9.16%. Its return on capital employed (ROCE) is 11.25%.
Is PSO a good stock to buy?
This page provides a data-driven analysis of Pearson plc (PSO), including valuation ratios, profitability, growth trends, auto-generated pros and cons, peer comparison and AI exposure. Review these fundamentals alongside your own research and risk tolerance. This is informational content, not investment advice.