Citi opens 90-day ‘positive catalyst watch’ on Pearson shares.
Citi opened a 90-day "positive catalyst watch" on Pearson shares on Wednesday as it pointed to an attractive risk/reward.
Pearson
05 June 2024 09:57:40
Source: Sharecast
"While we think new CEO Omar Abbosh’s business and strategic update in July will formally signal a pivot from value to growth for Pearson, lengthening its duration as an investment, we don’t see major earnings risk and note leverage-neutral valuation is toward decade lows," the bank said.
"Accordingly, we think overall risk/reward is attractive (base case 1170p but upside to 1550p on best case)."
The bank maintained its ‘buy’ rating on the shares.
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