PSO Should I Buy
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0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
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Pearson PLC (PSO) is not a strong buy at this moment for a beginner investor with a long-term strategy. While the stock shows some potential for short-term gains, the lack of strong positive catalysts, mixed financial performance, and neutral trading sentiment suggest a hold position. The investor should wait for clearer signals or stronger long-term growth indicators before committing funds.
The MACD is positively expanding, indicating bullish momentum. However, RSI is neutral at 72.826, and moving averages are converging, suggesting no clear trend. The stock is trading near its pivot level of 12.624, with resistance at 12.932 and support at 12.317.
Pearson's FY 2024 adjusted EPS increased by 4%, and revenue grew modestly by 0.8%. Analysts have upgraded the stock recently, citing the share pullback as an opportunity.
FY 2025 profit before tax decreased to £457 million despite a 1% sales increase. The pre-market price is down 2.61%, and options data suggests bearish sentiment.
Pearson's FY 2024 adjusted EPS increased by 4% to 64.5p, but FY 2025 profit before tax decreased despite a slight sales increase. The company proposed a final dividend of 17.4 pence per share, which may appeal to dividend-focused investors.
Analysts have mixed views. Kepler Cheuvreux upgraded the stock to Hold from Reduce with a lower price target of 1,000 GBp. JPMorgan maintains an Overweight rating with a higher price target of 1,440 GBp.
