03:45 AM EDT, 05/05/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We adjust our 12-month target price for Pearson to USD17 from USD18, based on a 2025 P/E of 20x, above its five-year average forward P/E of 17.3x, justified by its medium-term earnings resilience, in our view. We trim our EPS estimates to GBP0.65 from GBP0.70 for 2025 and to GBP0.70 from GBP0.75 for 2026. We view Pearson as a company with a fundamentally strong position in global education markets, underpinned by decades of leadership in assessments, qualifications, and academic publishing. Additionally, Pearson's medium-term guidance of mid-single-digit underlying sales growth CAGR and sustained margin improvement suggest a stable growth trajectory, in our view. While the pivot toward digital learning through initiatives like Pearson+ and AI-powered tools is strategically sound, we think execution risks remain elevated. Pearson's valuation also offers limited upside potential in our view, as its shares already trade above the five-year average P/E. Hence, we maintain our Hold rating on Pearson.