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NBIS vs. PSO: A Head-to-Head Stock Comparison

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Here’s a clear look at NBIS and PSO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

NBIS is a standard domestic listing, while PSO trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolNBISPSO
Company Name--Pearson plc
CountryNetherlandsUnited Kingdom
GICS SectorInformation TechnologyConsumer Discretionary
GICS IndustrySoftwareDiversified Consumer Services
Market Capitalization16.11 billion USD9.53 billion USD
ExchangeNasdaqGSNYSE
Listing DateOctober 21, 2024November 18, 1996
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of NBIS and PSO by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

NBIS vs. PSO: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolNBISPSO
5-Day Price Return-1.45%1.78%
13-Week Price Return79.63%-10.78%
26-Week Price Return61.80%-19.25%
52-Week Price Return--4.28%
Month-to-Date Return23.96%1.12%
Year-to-Date Return143.57%-15.41%
10-Day Avg. Volume17.77M1.30M
3-Month Avg. Volume12.48M1.53M
3-Month Volatility86.34%23.06%
Beta0.300.29

Profitability

Return on Equity (TTM)

NBIS

7.44%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

NBIS’s Return on Equity of 7.44% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

PSO

11.56%

Diversified Consumer Services Industry

Max
32.65%
Q3
29.77%
Median
16.63%
Q1
11.08%
Min
2.26%

PSO’s Return on Equity of 11.56% is on par with the norm for the Diversified Consumer Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

NBIS vs. PSO: A comparison of their Return on Equity (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Net Profit Margin (TTM)

NBIS

-55.23%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

NBIS has a negative Net Profit Margin of -55.23%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

PSO

12.53%

Diversified Consumer Services Industry

Max
18.84%
Q3
13.34%
Median
12.22%
Q1
7.92%
Min
3.76%

PSO’s Net Profit Margin of 12.53% is aligned with the median group of its peers in the Diversified Consumer Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

NBIS vs. PSO: A comparison of their Net Profit Margin (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Operating Profit Margin (TTM)

NBIS

-37.08%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

NBIS has a negative Operating Profit Margin of -37.08%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

PSO

15.97%

Diversified Consumer Services Industry

Max
26.63%
Q3
19.23%
Median
15.23%
Q1
8.71%
Min
-0.71%

PSO’s Operating Profit Margin of 15.97% is around the midpoint for the Diversified Consumer Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

NBIS vs. PSO: A comparison of their Operating Profit Margin (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Profitability at a Glance

SymbolNBISPSO
Return on Equity (TTM)7.44%11.56%
Return on Assets (TTM)6.44%6.72%
Net Profit Margin (TTM)-55.23%12.53%
Operating Profit Margin (TTM)-37.08%15.97%
Gross Profit Margin (TTM)4.01%51.45%

Financial Strength

Current Ratio (MRQ)

NBIS

14.71

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

NBIS’s Current Ratio of 14.71 is exceptionally high, placing it well outside the typical range for the Software industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

PSO

2.31

Diversified Consumer Services Industry

Max
3.40
Q3
1.97
Median
1.66
Q1
0.60
Min
0.15

PSO’s Current Ratio of 2.31 is in the upper quartile for the Diversified Consumer Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

NBIS vs. PSO: A comparison of their Current Ratio (MRQ) against their respective Software and Diversified Consumer Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NBIS

0.26

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

NBIS’s Debt-to-Equity Ratio of 0.26 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

PSO

0.41

Diversified Consumer Services Industry

Max
2.92
Q3
1.22
Median
0.36
Q1
0.01
Min
0.00

PSO’s Debt-to-Equity Ratio of 0.41 is typical for the Diversified Consumer Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NBIS vs. PSO: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Diversified Consumer Services industry benchmarks.

Interest Coverage Ratio (TTM)

NBIS

-43.61

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

NBIS has a negative Interest Coverage Ratio of -43.61. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

PSO

13.44

Diversified Consumer Services Industry

Max
13.44
Q3
10.58
Median
5.57
Q1
3.04
Min
-2.17

PSO’s Interest Coverage Ratio of 13.44 is in the upper quartile for the Diversified Consumer Services industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

NBIS vs. PSO: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Financial Strength at a Glance

SymbolNBISPSO
Current Ratio (MRQ)14.712.31
Quick Ratio (MRQ)14.512.24
Debt-to-Equity Ratio (MRQ)0.260.41
Interest Coverage Ratio (TTM)-43.6113.44

Growth

Revenue Growth

NBIS vs. PSO: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

NBIS vs. PSO: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

NBIS

0.00%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

NBIS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

PSO

2.29%

Diversified Consumer Services Industry

Max
2.29%
Q3
0.98%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.29%, PSO offers a more attractive income stream than most of its peers in the Diversified Consumer Services industry, signaling a strong commitment to shareholder returns.

NBIS vs. PSO: A comparison of their Dividend Yield (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Dividend Payout Ratio (TTM)

NBIS

0.00%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

NBIS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

PSO

36.05%

Diversified Consumer Services Industry

Max
35.94%
Q3
25.79%
Median
0.00%
Q1
0.00%
Min
0.00%

At 36.05%, PSO’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Diversified Consumer Services industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

NBIS vs. PSO: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Dividend at a Glance

SymbolNBISPSO
Dividend Yield (TTM)0.00%2.29%
Dividend Payout Ratio (TTM)0.00%36.05%

Valuation

Price-to-Earnings Ratio (TTM)

NBIS

65.90

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

NBIS’s P/E Ratio of 65.90 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

PSO

15.73

Diversified Consumer Services Industry

Max
33.95
Q3
25.14
Median
19.27
Q1
15.30
Min
5.58

PSO’s P/E Ratio of 15.73 is within the middle range for the Diversified Consumer Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

NBIS vs. PSO: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Price-to-Sales Ratio (TTM)

NBIS

13.77

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

NBIS’s P/S Ratio of 13.77 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

PSO

1.97

Diversified Consumer Services Industry

Max
3.29
Q3
2.54
Median
2.27
Q1
1.92
Min
1.28

PSO’s P/S Ratio of 1.97 aligns with the market consensus for the Diversified Consumer Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NBIS vs. PSO: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Diversified Consumer Services industry benchmarks.

Price-to-Book Ratio (MRQ)

NBIS

3.49

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

NBIS’s P/B Ratio of 3.49 is in the lower quartile for the Software industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

PSO

1.95

Diversified Consumer Services Industry

Max
7.00
Q3
6.37
Median
3.31
Q1
2.13
Min
0.98

PSO’s P/B Ratio of 1.95 is in the lower quartile for the Diversified Consumer Services industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

NBIS vs. PSO: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Diversified Consumer Services industry benchmarks.

Valuation at a Glance

SymbolNBISPSO
Price-to-Earnings Ratio (TTM)65.9015.73
Price-to-Sales Ratio (TTM)13.771.97
Price-to-Book Ratio (MRQ)3.491.95
Price-to-Free Cash Flow Ratio (TTM)0.3311.26