Is it safe?
Can PSO take a bad year?
Pearson plc carries $1.20B of net debt at 2.19× EBITDA: a load its earnings can carry.
$1.20B
Net debt · as at FY2025 · under two and a half years of EBITDA, comfortable
- Net debt / EBITDA
- 2.19×
Net debt / EBITDA · 1.97× a year ago · the load is going up
- Interest cover
- 5.17×
Interest cover · operating profit covers the interest bill several times over
- Annualised volatility
- 25%
Annualised volatility · about as steady as the market itself
Details›
- Total debtFY2025
- $1.54B
- Cash and short-term investments
- $339M
- Net debt
- $1.20B
- EBITDA, trailing twelve months
- $549M
- Operating profit, trailing twelve months
- $507M
- Debt / equity
- 0.42×
- Total debt / EBITDA
- 2.81×
- Annualised volatilitytwo years of daily moves
- 25%
- Worst drawdown on file
- −58%
- Below its 52-week high
- −6.7%
Balance sheet from SEC filings; drawdown and volatility from end-of-day closes; Altman Z from the filed statements.
Communication Services
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