PSO vs. YUMC: Pearson vs. Yum China Stock Comparison
How do Pearson (PSO) and Yum China (YUMC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Pearson (PSO) and Yum China (YUMC) both fall under the Consumer Services industry group, but PSO is classified in Diversified Consumer Services while YUMC is classified in Hotels, Restaurants & Leisure.
Yum China (YUMC) trades as ordinary local shares, while Pearson (PSO) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | PSO | YUMC |
|---|---|---|
| Name | Pearson plc Sponsored ADR | Yum China Holdings, Inc. |
| Country/Region | United Kingdom | China |
| GICS Sector | Consumer Discretionary | Consumer Discretionary |
| GICS Industry Group | Consumer Services | Consumer Services |
| GICS Industry | Diversified Consumer Services | Hotels, Restaurants & Leisure |
| GICS Sub-Industry | Education Services | Restaurants |
| Market Capitalization | 10.38 billion USD | 16.79 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | November 18, 1996 | October 17, 2016 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | PSO | YUMC |
|---|---|---|
| Total Return (1Y) | 34.42% | 17.02% |
| Total Return (3Y, Annualized) | 15.38% | 6.80% |
| Total Return (5Y, Annualized) | 17.99% | -0.60% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | PSO | YUMC |
|---|---|---|
| Volatility (1Y, Annualized) | 25.07% | 25.40% |
| Beta (5Y) | 0.43 | 0.01 |
| Max Drawdown (5Y) | -30.73% | -53.84% |
| Avg. Volume (3M) | 698.84K | 1.59M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | PSO | YUMC |
|---|---|---|
| Sharpe Ratio (1Y) | 1.20 | 0.50 |
| Sortino Ratio (1Y) | 1.67 | 0.77 |
Profitability
ROE (TTM)
Both Pearson (PSO) at 9.16% and Yum China (YUMC) at 17.35% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.
PSO
Consumer Services industry group
9.16%
- Max
- 76.75%
- Q3
- 34.07%
- Median
- 15.90%
- PSO
- 9.16%
- Q1
- 3.23%
- Min
- -40.61%
YUMC
Consumer Services industry group
17.35%
- Max
- 76.75%
- Q3
- 34.07%
- YUMC
- 17.35%
- Median
- 15.90%
- Q1
- 3.23%
- Min
- -40.61%
Net Margin (TTM)
Both Pearson (PSO) at 8.78% and Yum China (YUMC) at 7.90% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.
PSO
Consumer Services industry group
8.78%
- Max
- 25.52%
- Q3
- 12.95%
- PSO
- 8.78%
- Median
- 6.63%
- Q1
- 1.46%
- Min
- -14.36%
YUMC
Consumer Services industry group
7.90%
- Max
- 25.52%
- Q3
- 12.95%
- YUMC
- 7.90%
- Median
- 6.63%
- Q1
- 1.46%
- Min
- -14.36%
Operating Margin (TTM)
Both Pearson (PSO) at 13.32% and Yum China (YUMC) at 13.09% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.
PSO
Consumer Services industry group
13.32%
- Max
- 49.05%
- Q3
- 24.35%
- Median
- 14.23%
- PSO
- 13.32%
- Q1
- 5.67%
- Min
- -16.47%
YUMC
Consumer Services industry group
13.09%
- Max
- 49.05%
- Q3
- 24.35%
- Median
- 14.23%
- YUMC
- 13.09%
- Q1
- 5.67%
- Min
- -16.47%
Profitability Metrics
| Metric | PSO | YUMC |
|---|---|---|
| ROE (TTM) | 9.16% | 17.35% |
| ROA (TTM) | 5.09% | 7.81% |
| Net Margin (TTM) | 8.78% | 7.90% |
| Operating Margin (TTM) | 13.32% | 13.09% |
| Gross Margin (TTM) | 52.04% | 20.45% |
Growth
Revenue Growth
Yum China (YUMC) at 4.37% is around its peer norm for revenue growth, while Pearson (PSO) at 0.70% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
Both Pearson (PSO) at -20.16% and Yum China (YUMC) at 7.73% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | PSO | YUMC |
|---|---|---|
| Revenue Growth (YoY) | 0.70% | 4.37% |
| Revenue Growth (3Y CAGR) | -2.35% | 7.23% |
| EPS Growth (YoY) | -20.16% | 7.73% |
| EPS Growth (3Y CAGR) | 15.86% | 34.14% |
Financial Strength
Current Ratio (MRQ)
Pearson (PSO) at 2.00 carries current ratio above its industry’s typical mid-range, while Yum China (YUMC) at 0.67 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.
PSO
Consumer Services industry group
2.00
- Max
- 3.41
- PSO
- 2.00
- Q3
- 1.85
- Median
- 1.06
- Q1
- 0.72
- Min
- 0.22
YUMC
Consumer Services industry group
0.67
- Max
- 3.41
- Q3
- 1.85
- Median
- 1.06
- Q1
- 0.72
- YUMC
- 0.67
- Min
- 0.22
Debt / Equity (MRQ)
Both Pearson (PSO) at 0.52 and Yum China (YUMC) at 0.54 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
PSO
Consumer Services industry group
0.52
- Max
- 6.12
- Q3
- 2.93
- Median
- 1.29
- PSO
- 0.52
- Q1
- 0.37
- Min
- 0.01
YUMC
Consumer Services industry group
0.54
- Max
- 6.12
- Q3
- 2.93
- Median
- 1.29
- YUMC
- 0.54
- Q1
- 0.37
- Min
- 0.01
Financial Strength Metrics
| Metric | PSO | YUMC |
|---|---|---|
| Current Ratio (MRQ) | 2.00 | 0.67 |
| Debt / Equity (MRQ) | 0.52 | 0.54 |
| Net Debt / EBITDA | 2.35 | 0.85 |
Dividends
Dividend Yield (TTM)
Yum China (YUMC) at 2.23% delivers top-quartile income for its industry, while Pearson (PSO) at 1.46% pays a more typical yield — both are credible income propositions, YUMC the richer one.
PSO
Consumer Services industry group
1.46%
- Max
- 4.10%
- Q3
- 1.82%
- PSO
- 1.46%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
YUMC
Consumer Services industry group
2.23%
- Max
- 4.10%
- YUMC
- 2.23%
- Q3
- 1.82%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Pearson (PSO) at 51.09% and Yum China (YUMC) at 38.54% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.
PSO
Consumer Services industry group
51.09%
- Max
- 89.80%
- PSO
- 51.09%
- Q3
- 36.83%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
YUMC
Consumer Services industry group
38.54%
- Max
- 89.80%
- YUMC
- 38.54%
- Q3
- 36.83%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | PSO | YUMC |
|---|---|---|
| Dividend Yield (TTM) | 1.46% | 2.23% |
| Dividend Payout Ratio (TTM) | 51.09% | 38.54% |
Valuation
P/E Ratio (TTM)
Both Pearson (PSO) at 25.78 and Yum China (YUMC) at 17.34 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
PSO
Consumer Services industry group
25.78
- Max
- 71.70
- Q3
- 37.12
- PSO
- 25.78
- Median
- 21.88
- Q1
- 13.00
- Min
- 5.72
YUMC
Consumer Services industry group
17.34
- Max
- 71.70
- Q3
- 37.12
- Median
- 21.88
- YUMC
- 17.34
- Q1
- 13.00
- Min
- 5.72
P/S Ratio (TTM)
On P/S ratio, both Pearson (PSO) at 2.86 and Yum China (YUMC) at 1.32 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.
PSO
Consumer Services industry group
2.86
- Max
- 6.40
- Q3
- 3.01
- PSO
- 2.86
- Median
- 1.54
- Q1
- 0.74
- Min
- 0.08
YUMC
Consumer Services industry group
1.32
- Max
- 6.40
- Q3
- 3.01
- Median
- 1.54
- YUMC
- 1.32
- Q1
- 0.74
- Min
- 0.08
P/B Ratio (MRQ)
On P/B ratio, both Pearson (PSO) at 2.38 and Yum China (YUMC) at 3.19 are valued close to their industries’ norm against book — neither stands out from peers.
PSO
Consumer Services industry group
2.38
- Max
- 12.02
- Q3
- 5.58
- PSO
- 2.38
- Median
- 2.37
- Q1
- 1.09
- Min
- -4.51
YUMC
Consumer Services industry group
3.19
- Max
- 12.02
- Q3
- 5.58
- YUMC
- 3.19
- Median
- 2.37
- Q1
- 1.09
- Min
- -4.51
Valuation Metrics
| Metric | PSO | YUMC |
|---|---|---|
| P/E Ratio (TTM) | 25.78 | 17.34 |
| P/S Ratio (TTM) | 2.86 | 1.32 |
| P/B Ratio (MRQ) | 2.38 | 3.19 |
| Free Cash Flow Yield (TTM) | 8.08% | -2.30% |