Pearson Plc Valuation

PESA Stock  EUR 10.30  0.20  1.98%   
At this time, the company appears to be overvalued. Pearson plc holds a recent Real Value of €9.06 per share. The prevailing price of the company is €10.3. Our model determines the value of Pearson plc from analyzing the company fundamentals such as Operating Margin of 0.14 %, shares outstanding of 631.97 M, and Return On Equity of 0.12 as well as examining its technical indicators and probability of bankruptcy.
Price Book
1.5807
Enterprise Value
B
Enterprise Value Ebitda
6.3114
Price Sales
1.8997
Forward PE
14.4718
Overvalued
Today
10.30
Please note that Pearson Plc's price fluctuation is somewhat reliable at this time. Calculation of the real value of Pearson plc is based on 3 months time horizon. Increasing Pearson Plc's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Pearson stock is determined by what a typical buyer is willing to pay for full or partial control of Pearson plc. Since Pearson Plc is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Pearson Stock. However, Pearson Plc's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  10.3 Real  9.06 Hype  10.32
The real value of Pearson Stock, also known as its intrinsic value, is the underlying worth of Pearson plc Company, which is reflected in its stock price. It is based on Pearson Plc's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Pearson Plc's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
9.06
Real Value
11.36
Upside
Estimating the potential upside or downside of Pearson plc helps investors to forecast how Pearson stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Pearson Plc more accurately as focusing exclusively on Pearson Plc's fundamentals will not take into account other important factors:
Hype
Prediction
LowEstimatedHigh
8.0210.3212.62
Details

Pearson Plc Cash

570.13 Million

About Pearson Plc Valuation

The stock valuation mechanism determines Pearson Plc's current worth on a weekly basis. Our valuation model uses a comparative analysis of Pearson Plc. We calculate exposure to Pearson Plc's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Pearson Plc's related companies.
Last ReportedProjected for Next Year
Gross Profit1.6 B1.6 B

Pearson Plc Quarterly Retained Earnings

658 Million

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When running Pearson Plc's price analysis, check to measure Pearson Plc's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Pearson Plc is operating at the current time. Most of Pearson Plc's value examination focuses on studying past and present price action to predict the probability of Pearson Plc's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Pearson Plc's price. Additionally, you may evaluate how the addition of Pearson Plc to your portfolios can decrease your overall portfolio volatility.
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