Company Valuation: Pearson plc

Data adjusted to current consolidation scope
Fiscal Period: December 2021 2022 2023 2024 2025 2026 2027 2028
Market Cap 1 4,620 6,707 6,717 8,506 6,675 7,757 - -
Change - 45.19% 0.15% 26.62% -21.52% 16.22% - -
Enterprise Value (EV) 1 5,117 7,264 5,973 9,359 7,744 8,896 8,929 8,926
Change - 41.97% -17.77% 56.68% -17.25% 14.87% 0.37% -0.03%
P/E 29.3x 28.8x 18.3x 20.2x 20.7x 21.3x 18.4x 16.6x
PBR 1.08x 1.57x 1.73x 2.13x 1.87x 2.24x 2.16x 2.06x
PEG - 0.5x 0.3x 1x -1x 1.1x 1.2x 1.5x
Capitalization / Revenue 1.35x 1.75x 1.83x 2.39x 1.87x 2.08x 1.98x 1.89x
EV / Revenue 1.49x 1.89x 1.63x 2.63x 2.16x 2.39x 2.28x 2.18x
EV / EBITDA 6.9x 10.2x 7.62x 11.8x 9.94x 10.4x 9.75x 9.26x
EV / EBIT 13.3x 15.9x 10.4x 15.6x 12.6x 13.4x 12.5x 11.7x
EV / FCF 19.5x 33.9x 15x 18.6x 14.8x 22.3x 19.9x 17.6x
FCF Yield 5.12% 2.95% 6.68% 5.37% 6.74% 4.49% 5.03% 5.67%
Dividend per Share 2 0.205 0.215 0.227 0.24 0.252 0.265 0.2838 0.3107
Rate of return 3.34% 2.29% 2.35% 1.87% 2.4% 2.06% 2.2% 2.41%
EPS 2 0.209 0.326 0.527 0.635 0.507 0.604 0.699 0.777
Distribution rate 98.1% 66% 43.1% 37.8% 49.7% 43.9% 40.6% 40%
Net sales 1 3,428 3,841 3,674 3,552 3,577 3,724 3,923 4,101
EBITDA 1 742 715 784 794 779 857.3 915.9 964.3
EBIT 1 385 456 573 600 614 664.1 714.4 764.4
Net income 1 160 242 378 434 335 376.2 421.7 456.8
Net Debt 1 497 557 -744 853 1,069 1,138 1,171 1,168
Reference price 2 6.13 9.39 9.64 12.82 10.50 12.89 12.89 12.89
Nbr of stocks (in thousands) 753,360 714,131 696,669 663,467 635,708 601,815 - -
Announcement Date 2/25/22 3/3/23 3/1/24 2/28/25 2/27/26 - - -
1GBP in Million2GBP
Estimates

P/E, Detailed evolution



P/E (N) EV / Sales (N) EV / EBITDA (N) Dividend Yield (N) Capi.($)
20.44x1.58x8.23x0.78% 14.85B
27.78x3.65x17.41x1.24% 11.61B
21.34x2.39x10.38x2.06% 10.34B
140.36x7.37x18.96x1.12% 4.99B
16x2.76x7.38x3.79% 4.9B
15.4x - - 4.96% 3.61B
86.38x1.39x17.65x0.84% 3.35B
13.41x0.48x3.99x4.9% 3.07B
10.07x0.58x4.66x3.56% 3B
Average 39.02x 2.52x 11.08x 2.58% 7B
Weighted average by Cap. 34.19x 2.65x 11.54x 1.97%

Y-o-Y evolution of P/E

Valuation ratios - P/E - Pearson plc

Historical PBR trend

Valuation ratios - PBR - Pearson plc

Evolution Enterprise Value / Sales

Valuation ratios - VE_REV - Pearson plc

Change in Enterprise Value/EBITDA

Valuation ratios - VE_EBITDA - Pearson plc


Year-on-year evolution of the Yield

Valuation ratios - Yield - Pearson plc