JPMorgan hikes Pearson price target
Educational publisher Pearson Plc rallied on Wednesday after JPMorgan hiked its price target on the 'overweight' rated shares to 1,440p from 1,330p.
The bank said Pearson could benefit from labour market disruption as job losses are likely to push more people into education.
It also said that job losses linked to AI would lead to a countercyclical increased demand for US higher education and training. This would boost demand for the company's products.
JPM said Pearson's integrated digital and assessment products and trusted brands will also protect it from AI encroachment, while AI could inspire more lifelong learning.
At 1340 GMT, the shares were up 3.1% at 1,035.50p.
Disclaimer & Declaration of Interest
The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.
