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Pearson PLC
NYSE:PSO

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Pearson PLC
NYSE:PSO
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Price: 14.56 USD 0.62%
Market Cap: $9.9B

P/B

1.9
Current
4%
More Expensive
vs 3-y average of 1.8

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
1.9
=
Market Cap
$6.4B
/
Total Equity
£3.6B

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
1.9
=
Market Cap
$6.4B
/
Total Equity
£3.6B

Valuation Scenarios

Pearson PLC is trading above its 3-year average

If P/B returns to its 3-Year Average (1.8), the stock would be worth $14.05 (3% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-99%
Maximum Upside
No Upside Scenarios
Average Downside
55%
Scenario P/B Value Implied Price Upside/Downside
Current Multiple 1.9 $14.56
0%
3-Year Average 1.8 $14.05
-3%
5-Year Average 1.6 $12.1
-17%
Industry Average 0 $0.15
-99%
Country Average 0 $0.18
-99%

Forward P/B
Today’s price vs future total equity

Not enough data available to calculate forward P/B

Peer Comparison

All Multiples
P/B
P/E
All Countries
Close

Market Distribution

In line with most companies in United Kingdom
Percentile
54rd
Based on 2 623 companies
54rd percentile
0
Low
0 — 0
Typical Range
0 — 0
High
0 —
Distribution Statistics
United Kingdom
Min 0
30th Percentile 0
Median 0
70th Percentile 0
Max 49 422.3

Pearson PLC
Glance View

Pearson PLC, a venerable entity in the educational realm, has deftly pivoted from its storied past as a publishing giant to become a major force in the ever-evolving landscape of global education. Founded over 150 years ago, Pearson initially garnered its reputation through traditional print publishing, including newspapers and books. However, recognizing the digital shift in society and learning methodologies, the company strategically divested its non-core publishing assets, focusing singularly on educational products and services. Today, Pearson harnesses the power of technology to offer a diverse array of learning tools, courseware, assessments, and certification programs across numerous disciplines and age groups. This transformation reflects a shift from a static product-based model to a dynamic service-oriented approach. Pearson's business model thrives on the symbiotic relationship between educational content and technology. By leveraging digital learning platforms and sophisticated analytics, Pearson not only delivers content but also tailors educational experiences to individual learners and institutional needs. They generate revenue primarily through sales of digital content and online learning services, subscriptions to digital learning tools, and fees for standardized testing and certification services. The company consistently invests in tech-driven innovations, such as AI and adaptive learning, to ensure its offerings remain relevant and effective in addressing the needs of students, educators, and institutions worldwide. This forward-thinking approach positions Pearson as an influential player in shaping the future of education, pivoting deftly from its print legacy to a leader in educational technology.

PSO Intrinsic Value
17.15 USD
Undervaluation 15%
Intrinsic Value
Price $14.56
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