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Pearson (Pearson) EV-to-EBIT : 13.56 (As of Apr. 26, 2024)


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What is Pearson EV-to-EBIT?

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Pearson's Enterprise Value is $9,500 Mil. Pearson's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $701 Mil. Therefore, Pearson's EV-to-EBIT for today is 13.56.

The historical rank and industry rank for Pearson's EV-to-EBIT or its related term are showing as below:

PSO' s EV-to-EBIT Range Over the Past 10 Years
Min: -22.94   Med: 17   Max: 41.07
Current: 13.56

During the past 13 years, the highest EV-to-EBIT of Pearson was 41.07. The lowest was -22.94. And the median was 17.00.

PSO's EV-to-EBIT is ranked worse than
54.02% of 659 companies
in the Media - Diversified industry
Industry Median: 12.35 vs PSO: 13.56

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Pearson's Enterprise Value for the quarter that ended in Dec. 2023 was $9,636 Mil. Pearson's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $701 Mil. Pearson's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 7.27%.


Pearson EV-to-EBIT Historical Data

The historical data trend for Pearson's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Pearson EV-to-EBIT Chart

Pearson Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.73 12.39 20.87 18.90 13.66

Pearson Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 20.87 - 18.90 - 13.66

Competitive Comparison of Pearson's EV-to-EBIT

For the Publishing subindustry, Pearson's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Pearson's EV-to-EBIT Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Pearson's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Pearson's EV-to-EBIT falls into.



Pearson EV-to-EBIT Calculation

Pearson's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=9499.713/700.505
=13.56

Pearson's current Enterprise Value is $9,500 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Pearson's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $701 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Pearson  (NYSE:PSO) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Pearson's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Dec. 2023 ) =EBIT / Enterprise Value (Q: Dec. 2023 )
=700.505/9635.66331
=7.27 %

Pearson's Enterprise Value for the quarter that ended in Dec. 2023 was $9,636 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. Pearson's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $701 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Pearson EV-to-EBIT Related Terms

Thank you for viewing the detailed overview of Pearson's EV-to-EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


Pearson (Pearson) Business Description

Address
80 Strand, London, GBR, WC2R 0RL
U.K.-listed Pearson is the world's largest educational provider. The company has been disposing of noncore businesses such as the Financial Times, The Economist, and publishing house Penguin, and is now focused on being an educational resource and testing provider. While Pearson's primary activity centres on higher-level education, the firm also has significant operations in providing clinical assessments, professional certification and testing.