Pearson plc (NYSE:PSO) Raises Dividend to $0.21 Per Share

Pearson plc (NYSE:PSO) declared a semi-annual dividend on Friday, February 28th, Wall Street Journal reports. Stockholders of record on Friday, March 21st will be paid a dividend of 0.2092 per share on Friday, May 16th. This represents a dividend yield of 1.7%. The ex-dividend date of this dividend is Friday, March 21st. This is a 120.2% increase from Pearson’s previous semi-annual dividend of $0.10.

Pearson has increased its dividend by an average of 2.3% per year over the last three years. Pearson has a payout ratio of 44.2% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Pearson to earn $0.83 per share next year, which means the company should continue to be able to cover its $0.42 annual dividend with an expected future payout ratio of 50.6%.

Pearson Stock Performance

Shares of PSO opened at $16.43 on Wednesday. The stock has a 50 day moving average price of $16.53 and a 200 day moving average price of $15.37. The company has a quick ratio of 1.72, a current ratio of 1.78 and a debt-to-equity ratio of 0.34. The company has a market capitalization of $10.95 billion, a price-to-earnings ratio of 17.47, a price-to-earnings-growth ratio of 2.65 and a beta of 0.38. Pearson has a 52-week low of $11.78 and a 52-week high of $17.90.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on the company. The Goldman Sachs Group raised Pearson to a “strong-buy” rating in a report on Thursday, January 30th. StockNews.com raised Pearson from a “hold” rating to a “buy” rating in a report on Monday, March 3rd. Finally, National Bankshares set a $18.00 price target on Pearson in a report on Tuesday, February 18th.

Pearson Company Profile

Pearson plc offers educational courseware, assessments, and services in the United Kingdom, the United States, Canada, the Asia Pacific, other European countries, and internationally. The company operates through five segments: Assessment & Qualifications, Virtual Learning, English Language Learning, Workforce Skills, and Higher Education.