P/E ratio for Pearson (PSO)
P/E ratio as of June 2024 (TTM): 21.1
According to Pearson's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 21.0831. At the end of 2007 the company had a P/E ratio of 39.2.
P/E ratio history for Pearson from 2001 to 2008
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2007 | 39.2 | 177.74% |
| 2006 | 14.1 | 100.53% |
| 2005 | 7.03 | -49.15% |
| 2004 | 13.8 | -23.67% |
| 2003 | 18.1 | -158.64% |
| 2002 | -30.9 | 70.5% |
| 2001 | -18.1 |
P/E ratio for similar companies or competitors
| Company | P/E ratio | P/E ratio differencediff. | Country |
|---|---|---|---|
 Walt Disney DIS | 82.0 | 289.01% | 🇺🇸 USA |
 Scholastic SCHL | 22.8 | 8.07% | 🇺🇸 USA |
 New York Times NYT | 47.4 | 124.61% | 🇺🇸 USA |
 Gannett GCI | -22.1 | -204.63% | 🇺🇸 USA |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.