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Updated 1m ago
PSON logo

Pearson plcLSE:PSON Stock Report

Market Cap UK£7.1b
Updated 1m ago
Share Price
n/a
1Y13.4%
7D1.6%
1D-2.1%
Portfolio Value
​
View

Pearson plc

LSE:PSON Stock Report

Market Cap: UK£7.1b

  • Company Overview
    • Valuation
    • Future Growth
    • Past Performance
    • Financial Health
    • Dividend
  • Management
  • Ownership
  • Other Information
  • Stock Community

Pearson (PSON) Stock Overview

Provides educational courseware, assessments, and services in the United Kingdom, the United States, Canada, the Asia Pacific, other European countries, and internationally. More details

PSON fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance2/6
Financial Health5/6
Dividends2/6

Rewards

Trading at 28.2% below our estimate of its fair value

Earnings are forecast to grow 9.08% per year

Risk Analysis

No risks detected for PSON from our risk checks.

PSON Community Fair Values

Create Narrative

See what 25 others think this stock is worth. Follow their fair value or set your own to get alerts.

Analyst Price Targets

AN
AnalystConsensusTarget
3.7% undervalued intrinsic discount
AnalystConsensusTarget
•1mo ago

AI And Digital Education Will Drive Future Opportunities

201
0
15
AN
AnalystHighTarget
13.3% undervalued intrinsic discount
AnalystHighTarget
•9d ago

AI Skilling And Assessments Will Drive Long Term Value For This Education Leader

16
0
1
AN
AnalystLowTarget
17.8% overvalued intrinsic discount
AnalystLowTarget
•6mo ago

AI Skilling Demand And Assessments Will Support Stable Margins And Fairly Priced Shares

8
0
0

Top Analyst Narratives

AN
AnalystConsensusTarget
3.7% undervalued intrinsic discount
AnalystConsensusTarget
•1mo ago

AI And Digital Education Will Drive Future Opportunities

201
0
15
AN
AnalystHighTarget
13.3% undervalued intrinsic discount
AnalystHighTarget
•9d ago

AI Skilling And Assessments Will Drive Long Term Value For This Education Leader

16
0
1
AN
AnalystLowTarget
17.8% overvalued intrinsic discount
AnalystLowTarget
•6mo ago

AI Skilling Demand And Assessments Will Support Stable Margins And Fairly Priced Shares

8
0
0
View all narratives

Pearson plc Competitors

Tribal Group

Symbol: AIM:TRB
Market cap: UK£177.1m

Fairview International

Symbol: LSE:FIL
Market cap: UK£43.1m

Whitbread

Symbol: LSE:WTB
Market cap: UK£3.9b

InterContinental Hotels Group

Symbol: LSE:IHG
Market cap: US$22.4b

Price History & Performance

Summary of share price highs, lows and changes for Pearson
Historical stock prices
Current Share PriceUK£11.79
52 Week HighUK£13.37
52 Week LowUK£8.75
Beta-0.034
1 Month Change-1.42%
3 Month Change4.06%
1 Year Change13.43%
3 Year Change35.80%
5 Year Change67.40%
Change since IPO232.44%

Recent News & Updates

User avatar
Narrative Update • Sep 10

PSON: AI Workforce Partnerships And Margin Progress Will Support Future Upside

Pearson's updated analyst price target has edged lower, with fair value moving from £14.30 to £13.60. Analysts highlight limited near-term upside after strong share price performance, more neutral ratings, and expectations for mid single digit growth with modest valuation support.
User avatar
Narrative Update • Jul 22

PSON: AI Partnerships And Execution Progress Will Support Balanced Future Returns

The analyst price target for Pearson in this update edges higher to reflect a fair value move to about £12.24, as analysts factor in slightly adjusted assumptions for discount rate, revenue growth, profit margin and future P/E. Recent research broadly maintains a Neutral or Equal Weight stance, with price targets clustered between about £13.35 and £14.20.

Recent updates

User avatar
Narrative Update • Sep 10

PSON: AI Workforce Partnerships And Margin Progress Will Support Future Upside

Pearson's updated analyst price target has edged lower, with fair value moving from £14.30 to £13.60. Analysts highlight limited near-term upside after strong share price performance, more neutral ratings, and expectations for mid single digit growth with modest valuation support.
User avatar
Narrative Update • Jul 22

PSON: AI Partnerships And Execution Progress Will Support Balanced Future Returns

The analyst price target for Pearson in this update edges higher to reflect a fair value move to about £12.24, as analysts factor in slightly adjusted assumptions for discount rate, revenue growth, profit margin and future P/E. Recent research broadly maintains a Neutral or Equal Weight stance, with price targets clustered between about £13.35 and £14.20.
User avatar
Narrative Update • Jul 07

PSON: AI Skills Expansion And Margin Outlook Will Support Future Upside

Analysts have lifted their price target for Pearson by £0.10, citing updated assumptions around long term revenue growth, profit margins, and future P/E multiples in their valuation work. What’s in the News for Pearson Pearson and Amazon Web Services released research indicating the U.S. currently leads in AI innovation but faces gaps in preparing students for an AI-ready workforce, highlighting employer demand for higher education credentials in the AI era.
User avatar
Narrative Update • Jun 23

PSON: AI Partnerships And Fair Valuation Will Support Balanced Outlook

The analyst price target for Pearson has been raised by £0.10, with analysts attributing the revision to updated assumptions around the discount rate and future P/E. What’s in the News for Pearson Pearson and Cognizant reported findings from their joint AI Workforce Pulse study and are working together to help graduates and mid-career professionals build skills in AI, cloud, and digital technologies, including support for Cognizant programs such as Synapse and the Immersive Learning Center in Chennai.
User avatar
Narrative Update • Jun 08

PSON: AI Partnerships And Steady Cash Returns Will Support Balanced Outlook

Analysts have lifted their Pearson price target by £0.10, citing updated assumptions around discount rates, revenue growth, profit margins and future P/E as the key drivers behind the change. What's in the News The Jordanian Ministry of Education extended its vocational education development contract with Pearson to 2031, covering support for 362 schools and BTEC Level 2 and 3 Arabic-language qualifications across 14 sectors.
User avatar
Narrative Update • May 24

PSON: AI Partnerships And Buybacks Will Support Balanced Long Term Cash Returns

Narrative Update on Pearson Pearson's analyst price target has been nudged higher to £11.83, with analysts citing model updates that fine tune revenue and margin assumptions and bring valuation multiples in line with broader media peers. Analyst Commentary Recent Street research around Pearson reflects a mix of optimism and caution, with price targets adjusted in both directions as analysts refresh models after the latest reported results and align valuation multiples with broader media peers.
User avatar
Narrative Update • Apr 26

PSON: AI Partnership And Buybacks Will Support Steady Cash Flow Profile

The updated analyst price target for Pearson edges higher to about £11.70, with analysts pointing to modest tweaks in revenue growth, profit margin and P/E assumptions, as well as mixed recent Street targets that reflect both model refinements and shifts to peer group valuation multiples. Analyst Commentary Recent Street research on Pearson points to mixed but generally constructive views around valuation, execution and forecast assumptions, with small price target moves reflecting tweaks to models rather than wholesale shifts in conviction.
User avatar
Narrative Update • Apr 08

PSON: AI Partnerships And Buybacks Will Support Future Cash Flow Resilience

Analysts have trimmed Pearson's average price target, with recent cuts to about £13.90 and £11.20 per share. These changes reflect closer alignment of valuation multiples with media peers and slightly softer outer year revenue assumptions, even as profit forecasts stay broadly intact.
User avatar
Narrative Update • Mar 25

PSON: AI Partnerships And Buybacks Will Support Future Earnings Resilience

Analysts have trimmed Pearson's aggregated price target, with moves such as BofA cutting to £13.90 from £15.70 and several peers nudging targets slightly lower. The changes mainly reflect alignment with sector peer multiples and modestly reduced outer year revenue assumptions, while profit expectations are left broadly intact.
User avatar
Narrative Update • Mar 11

PSON: AI Partnerships And Buyback Programme Will Support Future Upside

Analysts have lowered their Pearson price targets, with several reductions bringing the average implied value closer to peers at around £13.90. They have adjusted revenue assumptions slightly while keeping profit expectations broadly steady and are applying lower P/E multiples in line with the wider media group.
User avatar
New Narrative • Feb 27

AI Skilling Demand And Assessments Will Support Stable Margins And Fairly Priced Shares

Catalysts About Pearson Pearson is a global education company focused on assessments, virtual schools, higher education courseware and workforce skills. What are the underlying business or industry changes driving this perspective?
User avatar
Narrative Update • Feb 25

PSON: AI Partnerships And Recent Buy Rating Will Support Future Upside

Analysts have fine tuned their Pearson views, with recent Street research showing price targets adjusted around £14.20 and £13.00 as they factor in updated P/E assumptions and reassess how artificial intelligence risks are reflected in the share price. Analyst Commentary Bullish Takeaways Bullish analysts are comfortable maintaining an Overweight stance, even as JPMorgan trims its price target to £14.20 from £14.40, which still implies room for upside based on their current assumptions.
User avatar
Narrative Update • Feb 10

PSON: AI Partnerships And Fresh Buy Ratings Will Support Future Upside

Narrative Update on Pearson Analysts have trimmed their Pearson price target by £0.20 to £14.20, reflecting slightly higher discount-rate assumptions and fine tuning to margin and P/E inputs, with recent research highlighting a mix of cautious target adjustments and fresh Buy initiations on what some see as an attractive risk/reward setup around AI concerns. Analyst Commentary Recent research on Pearson presents a mix of optimism and caution, with target tweaks and new coverage reflecting different views on how the shares price in AI related risks and execution on growth plans.
User avatar
Narrative Update • Jan 27

PSON: AI Partnerships And Recent Upgrades Will Support Future Upside

Analysts have trimmed their fair value estimate for Pearson from £12.45 to about £12.07, citing slightly lower margin expectations. This comes even as assumptions for revenue growth and future P/E move higher, supported by a mix of recent target cuts and fresh Buy or upgrade calls from major banks.
User avatar
New Narrative • Jan 24

AI Skilling And Assessments Will Drive Long Term Value For This Education Leader

Catalysts About Pearson Pearson is a global education company focused on assessments, qualifications and learning services across schools, higher education, English language learning and workforce skills. What are the underlying business or industry changes driving this perspective?
Analysis Article • Jan 23

Pearson (LON:PSON) Is Looking To Continue Growing Its Returns On Capital

What are the early trends we should look for to identify a stock that could multiply in value over the long term? In a...
User avatar
Narrative Update • Jan 11

PSON: AI Partnerships And Global Education Demand Will Support Future Upside

The updated analyst price target for Pearson, now set around £12.45 from £12.51, reflects small refinements to assumptions on discount rate, revenue growth and profit margins, as analysts weigh a higher Street target of £13.30 alongside views that the shares are fairly valued for a mid single digit growth profile. Analyst Commentary Recent Street research gives you a split view on Pearson, with some focusing on upside as the shares track higher targets and others stressing that the current price already reflects a mid single digit growth profile.
Analysis Article • Jan 03

Does Pearson (LON:PSON) Deserve A Spot On Your Watchlist?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...
User avatar
Narrative Update • Dec 27

PSON: AI Partnerships Will Drive Long Term Global Education Upside

Analysts have nudged our Pearson price target slightly higher to £13.30 from £13.10, reflecting confidence in the company’s steady mid single digit growth prospects and solid positioning in the global education market, even as its current valuation is viewed as broadly fair. Analyst Commentary Bullish analysts highlight Pearson's improving fundamentals and consistent execution against its strategic priorities, which have supported the modest upward revision in the price target.
Analysis Article • Dec 16

We Think Pearson (LON:PSON) Can Stay On Top Of Its Debt

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...
User avatar
Narrative Update • Dec 12

PSON: Global Education Demand Will Drive Long Term Performance And Upside

The analyst price target for Pearson has edged higher to approximately £12.51 from £12.49 as analysts cite slightly stronger long term revenue growth expectations and a modestly higher valuation multiple, despite a largely unchanged margin and risk outlook. Analyst Commentary Recent Street research on Pearson reflects a balanced mix of optimism around growth prospects and caution on valuation, leading to a modest upward drift in price targets rather than a wholesale change in sentiment.
User avatar
Narrative Update • Nov 28

PSON: Global Education Demand And New Partnerships Will Drive Strong Performance

Analysts have increased their price target for Pearson by £0.20 to £13.30. They cite continued growth prospects in global education, balanced by what they view as a fair valuation for the shares.
User avatar
Narrative Update • Nov 14

PSON: Global Education Demand Will Support Share Price Momentum

The analyst price target for Pearson has recently been raised slightly, increasing by £0.20 to £13.30. Analysts cite confidence in the company's margins and continued presence in the global education market, despite modestly slower growth expectations.
Analysis Article • Oct 30

Pearson plc's (LON:PSON) Business Is Yet to Catch Up With Its Share Price

It's not a stretch to say that Pearson plc's ( LON:PSON ) price-to-earnings (or "P/E") ratio of 15.8x right now seems...
Analysis Article • Oct 13

Is There An Opportunity With Pearson plc's (LON:PSON) 21% Undervaluation?

Key Insights Using the 2 Stage Free Cash Flow to Equity, Pearson fair value estimate is UK£13.38 Pearson's UK£10.52...
Analysis Article • Sep 30

Here's Why Pearson (LON:PSON) Has Caught The Eye Of Investors

It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...
User avatar
New Narrative • Mar 02

AI Integration And AWS Partnership Will Transform Future Of Education

Partnership with AWS and AI integration will enhance learning experiences, operational efficiency, and support revenue and margin growth.

Shareholder Returns

PSONGB Consumer ServicesGB Market
7D1.6%1.6%0.04%
1Y13.4%9.6%15.9%

Return vs Industry: PSON exceeded the UK Consumer Services industry which returned 9.6% over the past year.

Return vs Market: PSON underperformed the UK Market which returned 15.9% over the past year.

Price Volatility

Is PSON's price volatile compared to industry and market?
PSON volatility
PSON Average Weekly Movement3.8%
Consumer Services Industry Average Movement4.2%
Market Average Movement4.9%
10% most volatile stocks in GB Market10.8%
10% least volatile stocks in GB Market2.6%

Stable Share Price: PSON has not had significant price volatility in the past 3 months compared to the UK market.

Volatility Over Time: PSON's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
184415,165Omar Abboshplc.pearson.com

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.

Pearson plc Fundamentals Summary

How do Pearson's earnings and revenue compare to its market cap?
PSON fundamental statistics
Market capUK£7.08b
Earnings (TTM)UK£319.00m
Revenue (TTM)UK£3.63b
22.2x
P/E Ratio
1.9x
P/S Ratio

Is PSON overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
PSON income statement (TTM)
RevenueUK£3.63b
Cost of RevenueUK£1.74b
Gross ProfitUK£1.89b
Other ExpensesUK£1.57b
EarningsUK£319.00m

Last Reported Earnings

Jun 30, 2026

Next Earnings Date

n/a

Earnings per share (EPS)0.53
Gross Margin52.04%
Net Profit Margin8.78%
Debt/Equity Ratio38.9%

How did PSON perform over the long term?

See historical performance and comparison

Dividends

2.1%
Current Dividend Yield
50%
Payout Ratio

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/09/20 01:41
End of Day Share Price 2026/09/18 00:00
Earnings2026/06/30
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
  • SEC Form 10-K
  • SEC Form 10-Q
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
  • Analyst Research Reports
  • Blue Matrix
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
  • ICE Market Data
  • SEC Form S-1
Ownership10 years
  • Top shareholders
  • Insider trading
  • SEC Form 4
  • SEC Form 13D
Management10 years
  • Leadership team
  • Board of directors
  • SEC Form 10-K
  • SEC Form DEF 14A
Key Developments10 years
  • Company announcements
  • SEC Form 8-K

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Pearson plc is covered by 28 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
JULIEN ROCHBarclays
Nicholas Michael DempseyBarclays
Sarah SimonBerenberg

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