PearsonPSORF -1.22%79 OCF Margin % is 25.01% as of Dec. 2025, which is 141% above its 10-year median of 10.37. GuruFocus rates PSORF with a GF Score™ of 79/100 and a GF Value™ of $14.26 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,017 Media - Diversified companies, Pearson ranks better than 80.92% on this metric.
The historical rank and industry rank for Pearson's OCF Margin % or its related term are showing as below:
PSORF'
s OCF Margin % Range Over the Past 10 Years
Min: 6.6 Med: 10.37 Max: 18.34
Current: 18.29
During the past 13 years, the highest OCF Margin % of Pearson was 18.34%. The lowest was 6.60%. And the median was 10.37%.
PSORF's OCF Margin % is ranked better than 80.92% of 1017
companies
in the Media - Diversified industry
Industry Median: 5.9
vs PSORF: 18.29
Pearson OCF Margin % Related Terms
Pearson OCF Margin % Historical Data
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The historical data trend for Pearson's OCF Margin % 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.
For the Publishing subindustry, Pearson's OCF Margin %, along with its competitors' market caps and OCF Margin % 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 OCF Margin % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, Pearson's OCF Margin % distribution charts can be found below:
* The bar in red indicates where Pearson's OCF Margin % falls into.
* 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 (PSORF) has a OCF Margin % of 25.01% as of Dec. 2025. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Pearson and its competitors. This is 141% above median its historical median of 10.37. Over the past decade, Pearson's OCF Margin % has ranged from 6.60 to 18.34. According to the industry distribution chart, Pearson ranks #194 out of 1017 companies in the Media - Diversified industry, placing it in the top 19.1%.
Is Pearson's OCF Margin % too high?
Pearson's current OCF Margin % of 25.01% is 141% above median its 10-year median of 10.37. Over the past 10 years, this metric has ranged from a low of 6.60 to a high of 18.34. The Media - Diversified industry median OCF Margin % is 5.90. Pearson's value of 25.01% is 323.9% above this industry median. Based on the distribution chart, Pearson ranks #194 out of 1017 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, Pearson has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Pearson's OCF Margin % compare to NYT and WLY?
According to the Media - Diversified industry distribution chart, Pearson ranks #194 out of 1017 companies for OCF Margin %. This places Pearson in the top 19% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 5.90. Pearson's value of 25.01% is 323.9% above this benchmark. Historically, Pearson's own OCF Margin % has ranged from 6.60 to 18.34 over the past decade. While the company's 10-year median is 10.37 vs. the industry median of 5.90, Pearson has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good OCF Margin % for a Media - Diversified company?
The median OCF Margin % among Media - Diversified companies is 5.90, based on 1,017 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Pearson's current OCF Margin % of 25.01% is 323.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Pearson and its competitors. For the Media - Diversified industry, the median OCF Margin % is 5.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pearson's current OCF Margin % is 25.01%, which is 141% above median its own 10-year median of 10.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pearson stock overvalued right now?
Based on GuruFocus' analysis, Pearson (PSORF) is currently considered Fairly Valued. The stock's GF Value™ is $14.26, compared to a current price of $14.80 — trading 3.8% above its estimated fair value. The current OCF Margin % is 25.01%, which is 141% above median its 10-year median of 10.37 and 323.9% above the Media - Diversified industry median of 5.90. Pearson's overall GF Score™ is 79/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For Pearson (PSORF), the current OCF Margin % is 25.01% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Pearson (PSORF) Overvalued in 2026?
Based on GuruFocus' analysis, Pearson stock appears to be overvalued.
The current stock price of $14.80 is trading 3.8% above its estimated GF Value™ of $14.26.
GuruFocus considers Pearson to be Fairly Valued.
Key valuation signals for PSORF:
OCF Margin %: 25.01% (141% above median its 10-year median of 10.37)
GF Value™: $14.26 vs. price of $14.80 (3.8% above fair value)
Industry Position: 323.9% above the Media - Diversified median (#194 of 1017)
No single metric tells the full story. See the PSORF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
UK-listed Pearson is a testing and educational provider. Pearson's primary operations are in assessment and qualifications, testing and higher education, but they also provide English education and testing, virtual learning, prehiring testing and screening, and upskilling/reskilling. The company divested noncore businesses, including the Financial Times, The Economist, and publishing house Penguin, and is now focused on being an educational resource and testing provider.
79GF Score
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