Loading...

Pearson plc

PSONYSE
$14.34
$-0.10(-0.69%)

Fundamental Analysis of Pearson plc (PSO)

Comprehensive financial metrics and ratios analysis
EPS (TTM)
$0.86
P/E Ratio
16.67
ROE
0.11%
Net Margin
0.12%

Key Financial Metrices

Valuation Metrics

4 metrics
Market CapTotal market value of outstanding shares
$9.74B
Shares OutstandingTotal number of shares issued
$679.27M
Book Value/ShareNet worth per share
$5.89
Revenue/ShareAnnual revenue per share
$5.16

Profitability Metrics

6 metrics
EPS (TTM)Earnings per share trailing twelve months
$0.86
Net MarginNet income as percentage of revenue
12.22%
Operating MarginOperating income as percentage of revenue
15.23%
ROEReturn on shareholders' equity
11.08%
ROAReturn on total assets
6.30%
ROCEReturn on capital employed
9.99%

Cash Flow Metrics

3 metrics
Free Cash Flow/ShareCash generated per share after capex
$0.73
Cash/ShareCash and equivalents per share
$0.79
FCF YieldFree cash flow as percentage of market cap
6.96%

Dividend Metrics

2 metrics
Dividend/ShareAnnual dividend payment per share
$0.23
Dividend YieldAnnual dividend as percentage of stock price
2.12%
Financial Ratios Analysis data is not available for PSOFinancial Ratios Analysis details for PSO are currently unavailable. We're actively monitoring for updates and will publish them as soon as they’re released. Please check back again shortly.
Sector Benchmarking data is not available for PSOSector Benchmarking details for PSO are currently unavailable. We're actively monitoring for updates and will publish them as soon as they’re released. Please check back again shortly.

Understanding Fundamental Analysis for Pearson plc Investment Decisions

What is Fundamental Analysis?

Fundamental analysis is a method used to assess the intrinsic value of Pearson plc. Using financial reports, management structure, competitive position, and market environment, investors can determine whether the stock is undervalued or overvalued. This analysis helps investors like you make more informed investment decisions, taking into account Pearson plc's unique business strengths and challenges.

Key Financial Metrics for Pearson plc

For Pearson plc, essential financial indicators include EPS 0.86, PE 16.67, and ROE 0.11. These key ratios reveal insights into Pearson plc's profitability, valuation, and operational health. Understanding these metrics enables you to compare Pearson plc with its industry peers and decide whether it presents a viable investment opportunity.

Profitability and Operational Efficiency of Pearson plc

Metrics like Net Margin 12.22% and ROA 6.30% shed light on how well Pearson plc is generating profits. A high profitability ratio often indicates strong management and a solid business model, which are essential for long-term growth. These metrics are crucial in assessing whether Pearson plc can sustain its operations and continue growing in the future.

Valuation and Market Position of Pearson plc

Using ratios such as P/B Ratio 1.82 and PEG Ratio 0.97, investors can assess whether Pearson plc is appropriately valued based on its financials and growth potential. These figures, combined with Pearson plc's market capitalization, give insight into its competitive positioning and investor expectations, helping you make informed decisions on pricing and value.

Financial Health and Risk Assessment for Pearson plc

Financial health indicators, such as Debt/Equity Ratio 0.36 and Cash Flow $0.73, provide a snapshot of Pearson plc's ability to meet financial obligations and handle economic setbacks. A company with a strong balance sheet and solid cash flow, like Pearson plc, is more likely to weather financial storms, making it a safer investment.

Long-Term Investment Strategy for Pearson plc

Investing in Pearson plc based on fundamental analysis emphasizes long-term business growth rather than short-term market trends. Investors looking at Pearson plc focus on its solid financial performance, industry standing, and competitive advantages, all of which suggest sustainable growth and the potential for steady returns over time.

Fundamental Analysis FAQ

;