AON Stock Analysis: Aon | NYSE
Insurance Brokers | NYSE, USA | Market Cap: 70.201m USD | 12M Return: 1.7% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 599M
EPS Trend: 99.1%
Qual. Beats: 0
Rev. Trend: 98.4%
Qual. Beats: 1
Warnings
Tailwinds
No distinct edge detected
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Aon plc is a Dublin-headquartered professional services firm that provides risk management, insurance brokerage, reinsurance, health and benefits consulting, and wealth advisory services to clients across the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is organized into two reporting segments: Risk Capital and Human Capital, with offerings spanning commercial risk brokerage, specialty solutions, captives management, reinsurance, health and benefits consulting, talent advisory, retirement consulting, pension risk transfer, and investment advisory for institutional investors. Founded in 1979, Aon is one of the worlds largest insurance brokers by revenue and operates on a predominantly fee- and commission-based model rather than assuming underwriting risk, which is a key structural distinction from insurance carriers.
As a member of the Financials sector and the Insurance Brokers sub-industry, Aons revenue is largely tied to brokerage commissions, advisory fees, and reinsurance placement income, which tend to be more stable than underwriting results but remain sensitive to commercial insurance pricing cycles and corporate activity levels. The firm competes globally against a small number of large peers, including Marsh McLennan and Willis Towers Watson (now WTW), and serves a broad client base spanning corporations, public entities, and institutional investors.
- Hard insurance market lifts commercial risk brokerage organic growth
- Pension risk transfer fees scale on corporate de-risking demand
- Share repurchases accelerate following NFP divestiture proceeds
| Net Income: 3.94b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 1.55 > 1.0 |
| NWC/Revenue: 9.30% < 20% (prev 6.61%; Δ 2.69% < -1%) |
| CFO/TA 0.07 > 3% & CFO 3.77b > Net Income 3.94b |
| Net Debt (14.9b) to EBITDA (6.77b): 2.20 < 3 |
| Current Ratio: 1.07 > 1.5 & < 3 |
| Outstanding Shares: last quarter (215.4m) vs 12m ago -1.15% < -2% |
| Gross Margin: 65.99% > 18% (prev 47.12%; Δ 18.87% > 0.5%) |
| Asset Turnover: 34.38% > 50% (prev 32.52%; Δ 1.86% > 0%) |
| Interest Coverage Ratio: 7.42 > 6 (EBIT TTM 5.85b / Interest Expense TTM 788.0m) |
| A: 0.03 (Total Current Assets 26.2b - Total Current Liabilities 24.5b) / Total Assets 51.4b |
| B: 0.01 (Retained Earnings 307.0m / Total Assets 51.4b) |
| C: 0.12 (EBIT TTM 5.85b / Avg Total Assets 50.9b) |
| D: 0.24 (Book Value of Equity 9.83b / Total Liabilities 41.5b) |
| Altman-Z'' = 1.25 = BB |
| DSRI: 0.96 (Receivables 15.8b/15.4b, Revenue 17.5b/16.4b) |
| GMI: 0.71 (GM 47.12% / 65.99%) |
| AQI: 0.95 (AQ_t 0.46 / AQ_t-1 0.49) |
| SGI: 1.07 (Revenue 17.5b / 16.4b) |
| TATA: 0.00 (NI 3.94b - CFO 3.77b) / TA 51.4b) |
| Beneish M = -3.30 (Cap -4..+1) = AA |
As of July 04, 2026, the stock is trading at USD 357.46 with a total of 1,183,000 shares traded. Over the past week, the price has changed by +13.14%, over one month by +13.26%, over three months by +9.88% and over the past year by +1.68%.
Current recommended Stop Loss: 344.70 (which is 3.6% or 1.3 ATR below the current price).
Aon has received a consensus analysts rating of 3.55. Therefore, it is recommended to hold AON.
- StrongBuy: 4
- Buy: 5
- Hold: 9
- Sell: 2
- StrongSell: 0
| Analysts Target Price | 382.4 | 7% |
P/E Trailing = 18.05
P/E Forward = 17.331
P/S = 4.0147
P/B = 7.1386
P/EG = 2.7947
Revenue TTM = 17.5b USD
EBIT TTM = 5.85b USD
EBITDA TTM = 6.77b USD
Long Term Debt = 13.5b USD (from longTermDebt, last quarter)
Short Term Debt = 1.30b USD (from shortTermDebt, last quarter)
Debt = 16.3b USD (from shortLongTermDebtTotal, last quarter) + Leases 811.0m
Net Debt = 14.9b USD (calculated: Debt 16.3b - CCE 1.42b)
Enterprise Value = 85.1b USD (70.2b + Debt 16.3b - CCE 1.42b)
Interest Coverage Ratio = 7.42 (Ebit TTM 5.85b / Interest Expense TTM 788.0m)
EV/FCF = 24.33x (Enterprise Value 85.1b / FCF TTM 3.50b)
FCF Yield = 4.11% (FCF TTM 3.50b / Enterprise Value 85.1b)
FCF Margin = 20.00% (FCF TTM 3.50b / Revenue TTM 17.5b)
Net Margin = 22.54% (Net Income TTM 3.94b / Revenue TTM 17.5b)
Gross Margin = 65.99% ((Revenue TTM 17.5b - Cost of Revenue TTM 5.95b) / Revenue TTM)
Gross Margin QoQ = 87.66% (prev 83.56%)
Tobins Q-Ratio = 1.65 (Enterprise Value 85.1b / Total Assets 51.4b)
Interest Expense / Debt = 4.84% (Interest Expense 788.0m / Debt 16.3b)
Taxrate = 20.84% (1.05b / 5.06b)
NOPAT = 4.63b (EBIT 5.85b * (1 - 20.84%))
Current Ratio = 1.07 (Total Current Assets 26.2b / Total Current Liabilities 24.5b)
Debt / Equity = 1.66 (Debt 16.3b / totalStockholderEquity, last quarter 9.83b)
Debt / EBITDA = 2.20 (Net Debt 14.9b / EBITDA 6.77b)
Debt / FCF = 4.25 (Net Debt 14.9b / FCF TTM 3.50b)
Total Stockholder Equity = 8.74b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.75% (Net Income 3.94b / Total Assets 51.4b)
RoE = 45.09% (Net Income TTM 3.94b / Total Stockholder Equity 8.74b)
RoCE = 26.25% (EBIT 5.85b / Capital Employed (Equity 8.74b + L.T.Debt 13.5b))
RoIC = 16.95% (NOPAT 4.63b / Invested Capital 27.3b)
WACC = 5.57% (E(70.2b)/V(86.5b) * Re(5.97%) + D(16.3b)/V(86.5b) * Rd(4.84%) * (1-Tc(0.21)))
Discount Rate = 5.97% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 2.22 | Cagr: 2.90%
[DCF] Terminal Value 77.97% ; FCFF base≈3.15b ; Y1≈3.62b ; Y5≈5.32b
[DCF] Fair Price = 305.3 (EV 80.1b - Net Debt 14.9b = Equity 65.2b / Shares 213.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 99.08 | EPS CAGR: 9.36% | SUE: 0.58 | # QB: 0
Revenue Correlation: 98.43 | Revenue CAGR: 13.43% | SUE: 0.94 | # QB: 1
EPS current Quarter (2026-09-30): EPS=3.41 | Chg30d=-0.17% | Revisions=-6% | Analysts=20
EPS current Year (2026-12-31): EPS=19.12 | Chg30d=-0.04% | Revisions=+71% | GrowthEPS=+12.0% | GrowthRev=+4.8%
EPS next Year (2027-12-31): EPS=21.41 | Chg30d=-0.04% | Revisions=+36% | GrowthEPS=+12.0% | GrowthRev=+6.4%
[Analyst] Revisions Ratio: +71%