WallStSmart
PSO

Pearson PLC ADR

NYSE: PSO · COMMUNICATION SERVICES · PUBLISHING

$15.07
+1.70% today

Updated 2026-06-05

Market cap
$9.29B
P/E ratio
22.76
P/S ratio
2.60x
EPS (TTM)
$0.68
Dividend yield
2.21%
52W range
$12 – $16
Volume
1.0M

WallStSmart proprietary scores

41
out of 100
Grade: D
Sell
Investment rating
2.7
Growth
F
6.0
Quality
B
6.5
Profitability
B
4.0
Valuation
C
5/9
Piotroski F-Score
Moderate
1.9
Altman Z-Score
Grey zone
Industry rank
View all highly rated stocks (75+) →202 stocks currently score above 75

Price targets

Analyst target
$14.20
-5.77%
12-Month target
$12.70
-15.73%
Intrinsic (DCF)
$10.03
Margin of safety
-21.14%
0 Strong Buy0 Buy1 Hold0 Sell1 Strong Sell

Price chart

Stock snapshot

Strengths
+ ROE 21.09% — strong efficiency
+ Free cash flow $460.60M — positive
Risks
- 21.14% above intrinsic value

Key financials

Revenue Net Income Free Cash Flow
Metric2022202320242025TTM
Revenue$3.84B$3.67B$3.55B$3.50B$3.58B
Net income$242.00M$378.00M$434.00M$327.66M$169.95M
EPS$0.68
Free cash flow$214.00M$399.00M$503.00M$646.51M$460.60M
Profit margin6.30%10.29%12.22%9.37%9.37%

Peer comparison

CompanyMkt CapScoreGrowthProfitValueQualityMoSRating
PSO$9.29B412.76.54.06.0-21.14%Hold
GOOGL$4.38T768.79.57.38.0+43.60%Strong Buy
GOOG$4.34T758.79.56.08.0+0.89%Strong Buy
META$1.52T839.310.08.07.0+35.23%Exceptional Buy
NFLX$350.89B758.710.04.07.0-50.79%Strong Buy
TMUS$204.35B624.07.05.34.0-56.56%Buy

Smart narrative

Pearson PLC ADR trades at $15.07. representing a P/E of 22.76x trailing earnings. Our Smart Value Score of 41/100 indicates the stock is fair. The company scores 5/9 on the Piotroski F-Score. With an Altman Z-Score of 1.94, it sits in the grey zone. TTM revenue stands at $3.58B. with profit margins at 9.37%. Our DCF model estimates intrinsic value at $10.03.

Frequently asked questions

What is Pearson PLC ADR's stock price?

Pearson PLC ADR (PSO) trades at $15.07, on a P/E of 22.8x and a P/S of 2.6x. Those multiples show what the market is paying for each dollar of earnings and sales, which is the real starting point for judging whether the price is reasonable.

Is Pearson PLC ADR overvalued?

Pearson PLC ADR carries a Smart Value Score of 41/100 (Grade D), which we rate Sell. That score blends growth, quality, and valuation into one read. On valuation specifically, our conservative DCF puts intrinsic value at $10.03 against the $15.07 price, so on cash flow terms the market is paying a premium for Pearson PLC ADR's growth. The Sell rating reflects that growth and quality, while the DCF flags that the price already assumes a lot.

What is the price target of Pearson PLC ADR (PSO)?

The 12-month analyst consensus target is $14.20, about 5.8% below the current $15.07. A consensus target is the average of Wall Street's 12-month forecasts, so it works as a sentiment gauge rather than a guarantee, and it resets with every earnings cycle.

What is the intrinsic value of Pearson PLC ADR (PSO)?

Our DCF model estimates intrinsic value at $10.03, a -21.1% margin of safety versus today's $15.07. Intrinsic value is what the projected cash flows are worth today. A negative reading means the price is running ahead of that conservative estimate, leaving little downside cushion if growth slows.

What is Pearson PLC ADR's revenue?

Pearson PLC ADR's trailing twelve-month revenue is $3.58B. Revenue scale anchors the valuation multiples and shows whether growth is reaching the top line, so it is best read alongside margin and growth trends to see if that revenue is getting more profitable over time.

Altman Z-Score?

Pearson PLC ADR's Altman Z-Score is 1.94, which places it in the grey zone. The Altman Z-Score gauges bankruptcy risk from profitability, leverage, and asset efficiency, and a higher reading points to lower financial distress risk.

Company info

SectorCOMMUNICATION SERVICES
IndustryPUBLISHING
CountryUSA
ExchangeNYSE
CurrencyUSD

Quick metrics

P/S ratio2.60x
ROE21.09%
Beta-0.04
50D MA$14.52
200D MA$13.82
Shares out0.60B
Float0.63B
Short ratio
Avg volume1.0M

Performance

1 week
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YTD
1 year
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