Pearson Plc's market value is the price at which a share of Pearson Plc trades on a public exchange. It measures the collective expectations of Pearson plc investors about its performance. Pearson Plc is trading at 12.30 as of the 17th of August 2025. This is a 1.49 percent increase since the beginning of the trading day. The stock's lowest day price was 12.3. With this module, you can estimate the performance of a buy and hold strategy of Pearson plc and determine expected loss or profit from investing in Pearson Plc over a given investment horizon. Check out Pearson Plc Correlation, Pearson Plc Volatility and Pearson Plc Alpha and Beta module to complement your research on Pearson Plc.
Please note, there is a significant difference between Pearson Plc's value and its price as these two are different measures arrived at by different means. Investors typically determine if Pearson Plc is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Pearson Plc's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Pearson Plc 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Pearson Plc's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Pearson Plc.
0.00
05/19/2025
No Change 0.00
0.0
In 3 months and 1 day
08/17/2025
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If you would invest 0.00 in Pearson Plc on May 19, 2025 and sell it all today you would earn a total of 0.00 from holding Pearson plc or generate 0.0% return on investment in Pearson Plc over 90 days. Pearson Plc is related to or competes with Casio Computer, Ribbon Communications, Lion One, Chalice Mining, Perseus Mining, Pembina Pipeline, and Computer. Pearson plc provides educational products and services to institutions, governments, professional bodies, and individual... More
Pearson Plc Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Pearson Plc's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Pearson plc upside and downside potential and time the market with a certain degree of confidence.
Today, many novice investors tend to focus exclusively on investment returns with little concern for Pearson Plc's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Pearson Plc's standard deviation. In reality, there are many statistical measures that can use Pearson Plc historical prices to predict the future Pearson Plc's volatility.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Pearson Plc. Your research has to be compared to or analyzed against Pearson Plc's peers to derive any actionable benefits. When done correctly, Pearson Plc's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Pearson plc.
Pearson plc Backtested Returns
Pearson plc maintains Sharpe Ratio (i.e., Efficiency) of -0.11, which implies the firm had a -0.11 % return per unit of risk over the last 3 months. Pearson plc exposes twenty-two different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check Pearson Plc's Coefficient Of Variation of (900.23), variance of 3.31, and Risk Adjusted Performance of (0.07) to confirm the risk estimate we provide. The company holds a Beta of 0.37, which implies possible diversification benefits within a given portfolio. As returns on the market increase, Pearson Plc's returns are expected to increase less than the market. However, during the bear market, the loss of holding Pearson Plc is expected to be smaller as well. At this point, Pearson plc has a negative expected return of -0.2%. Please make sure to check Pearson Plc's standard deviation, jensen alpha, and the relationship between the coefficient of variation and information ratio , to decide if Pearson plc performance from the past will be repeated at some point in the near future.
Auto-correlation
-0.24
Weak reverse predictability
Pearson plc has weak reverse predictability. Overlapping area represents the amount of predictability between Pearson Plc time series from 19th of May 2025 to 3rd of July 2025 and 3rd of July 2025 to 17th of August 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Pearson plc price movement. The serial correlation of -0.24 indicates that over 24.0% of current Pearson Plc price fluctuation can be explain by its past prices.
Correlation Coefficient
-0.24
Spearman Rank Test
-0.37
Residual Average
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Price Variance
0.06
Pearson plc lagged returns against current returns
Autocorrelation, which is Pearson Plc stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Pearson Plc's stock expected returns. We can calculate the autocorrelation of Pearson Plc returns to help us make a trade decision. For example, suppose you find that Pearson Plc has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values
Timeline
Pearson Plc regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Pearson Plc stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Pearson Plc stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Pearson Plc stock over time.
Current vs Lagged Prices
Timeline
Pearson Plc Lagged Returns
When evaluating Pearson Plc's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Pearson Plc stock have on its future price. Pearson Plc autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Pearson Plc autocorrelation shows the relationship between Pearson Plc stock current value and its past values and can show if there is a momentum factor associated with investing in Pearson plc.
Pearson Plc financial ratios help investors to determine whether Pearson Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Pearson with respect to the benefits of owning Pearson Plc security.