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Pearson Refines £350 Million Buyback With Citi and Morgan Stanley

Story Highlights
  • Pearson has restructured its £350 million buyback, extending Citi’s first tranche and appointing Morgan Stanley for the final phase.
  • Upon completion by late May, Pearson will have cancelled repurchased shares worth £350 million, reducing its capital base for shareholders’ benefit.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Pearson Refines £350 Million Buyback With Citi and Morgan Stanley

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An announcement from Pearson ( (GB:PSON) ) is now available.

Pearson has updated the execution of its previously announced £350 million share buyback, revising its agreement with Citigroup Global Markets for the first tranche and appointing Morgan Stanley to run the second and final tranche. The first tranche is now expected to complete by 2 April 2026, with about £74 million already spent on 7.9 million shares and a further c.£101 million to be deployed under the revised Citi mandate.

The second tranche, to be executed by Morgan Stanley, will begin once the first tranche ends and is scheduled to conclude on or before 29 May 2026, at which point the full £350 million will have been returned to shareholders. All repurchased ordinary shares will be cancelled to reduce Pearson’s share capital, reinforcing capital return to investors while leaving its American Depositary Receipts outside the scope of the programme.

The most recent analyst rating on (GB:PSON) stock is a Hold with a £1120.00 price target. To see the full list of analyst forecasts on Pearson stock, see the GB:PSON Stock Forecast page.

Spark’s Take on GB:PSON Stock

According to Spark, TipRanks’ AI Analyst, GB:PSON is a Neutral.

The score is driven primarily by steady but not accelerating fundamentals—strong operating profitability offset by low growth, weaker net margin, rising leverage, and softer 2025 free cash flow. Earnings call guidance adds support via clear mid-single-digit growth and profit/cash-conversion targets, while technicals remain a headwind with the stock below key longer-term moving averages and negative MACD. Valuation is reasonable with a mid-teens/high-teens P/E and a ~2.5% dividend yield.

To see Spark’s full report on GB:PSON stock, click here.

More about Pearson

Pearson is a global education and learning company that provides textbooks, digital courseware, assessments and professional certification services to schools, higher education institutions and enterprises. The group focuses on technology-enabled learning and testing solutions, positioning itself as a key player in the international education and skills market.

Average Trading Volume: 2,267,318

Technical Sentiment Signal: Hold

Current Market Cap: £6.12B

For detailed information about PSON stock, go to TipRanks’ Stock Analysis page.

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