(AON) Aon - Ratings and Ratios
Risk Consulting, Reinsurance, Investment Advisory, Health Benefits, M&A Advisory
AON EPS (Earnings per Share)
AON Revenue
| Risk via 10d forecast | |
|---|---|
| Volatility | 20.4% |
| Value at Risk 5%th | 31.0% |
| Reward | |
|---|---|
| Sharpe Ratio | -0.46 |
| Alpha Jensen | -19.78 |
| Character | |
|---|---|
| Hurst Exponent | 0.516 |
| Beta | 0.837 |
| Drawdowns 3y | |
|---|---|
| Max DD | 20.00% |
| Mean DD | 7.03% |
Description: AON Aon September 26, 2025
Aon plc (NYSE:AON) is a Dublin-based professional-services firm that delivers integrated risk-management, human-capital, and insurance-linked solutions to corporations, public-sector entities, and institutional investors worldwide.
Its core businesses are divided into three pillars: (1) Commercial Risk, which includes retail brokerage, specialty lines, global risk consulting, captive-management and affinity programs; (2) Health Solutions, covering health-benefit consulting, brokerage, consumer-benefit design, and talent-advisory services; and (3) Retirement & Investment, providing treaty and facultative reinsurance, actuarial design, and investment advisory for defined-benefit, defined-contribution, and trust-based plans.
Key financial snapshots (2023) show revenue of roughly $13.2 billion, an adjusted earnings-per-share of $9.50, and an operating margin near 19 %. The balance sheet is modestly leveraged (debt-to-equity ≈ 0.6) and the company sustains a dividend yield of about 1.6 %, reflecting a focus on cash-flow stability.
Sector-level drivers that materially affect Aon’s outlook include: (i) accelerating corporate spending on cyber-risk and ESG-linked insurance, which expands the addressable market for specialty brokerage; (ii) tightening pension funding regulations in Europe and North America, boosting demand for actuarial and investment-advisory services; and (iii) low-interest-rate environments that pressure traditional insurance investment returns, prompting clients to seek alternative risk-transfer solutions such as insurance-linked securities, a niche where Aon is a market leader.
Assumption: Aon’s growth will remain tied to macro-economic cycles in corporate hiring and capital-expenditure trends; a sustained recession could compress brokerage volumes, while a rapid recovery would likely lift fee-based revenues. Disconfirming evidence would be an unexpected surge in underwriting losses from its reinsurance arm, which would erode profitability.
For a deeper quantitative view of Aons valuation metrics and scenario analysis, the ValueRay platform offers a concise dashboard you may find useful.
AON Stock Overview
| Market Cap in USD | 74,125m |
| Sub-Industry | Insurance Brokers |
| IPO / Inception | 1984-09-07 |
| Return 12m vs S&P 500 | -19.7% |
| Analyst Rating | 3.55 of 5 |
AON Dividends
| Dividend Yield | 0.83% |
| Yield on Cost 5y | 1.46% |
| Yield CAGR 5y | 10.36% |
| Payout Consistency | 97.5% |
| Payout Ratio | 19.6% |
AON Growth Ratios
| CAGR | 6.78% |
| CAGR/Max DD Calmar Ratio | 0.34 |
| CAGR/Mean DD Pain Ratio | 0.97 |
| Current Volume | 1183.6k |
| Average Volume | 1221.2k |
Piotroski VR‑10 (Strict, 0-10) 4.5
| Net Income (2.73b TTM) > 0 and > 6% of Revenue (6% = 1.02b TTM) |
| FCFTA 0.06 (>2.0%) and ΔFCFTA 0.11pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 8.61% (prev 10.41%; Δ -1.80pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.06 (>3.0%) and CFO 3.28b > Net Income 2.73b (YES >=105%, WARN >=100%) |
| Net Debt (16.53b) to EBITDA (5.20b) ratio: 3.18 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.06 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (216.7m) change vs 12m ago -0.78% (target <= -2.0% for YES) |
| Gross Margin 43.67% (prev 56.89%; Δ -13.22pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 33.55% (prev 29.94%; Δ 3.61pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 5.16 (EBITDA TTM 5.20b / Interest Expense TTM 830.0m) >= 6 (WARN >= 3) |
Altman Z'' 0.53
| (A) 0.03 = (Total Current Assets 26.57b - Total Current Liabilities 25.10b) / Total Assets 51.64b |
| (B) -0.03 = Retained Earnings (Balance) -1.53b / Total Assets 51.64b |
| (C) 0.08 = EBIT TTM 4.28b / Avg Total Assets 50.76b |
| (D) -0.12 = Book Value of Equity -5.44b / Total Liabilities 43.54b |
| Total Rating: 0.53 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 69.21
| 1. Piotroski 4.50pt = -0.50 |
| 2. FCF Yield 3.36% = 1.68 |
| 3. FCF Margin 17.85% = 4.46 |
| 4. Debt/Equity 2.22 = 0.44 |
| 5. Debt/Ebitda 3.18 = -2.00 |
| 6. ROIC - WACC (= 6.70)% = 8.37 |
| 7. RoE 37.78% = 2.50 |
| 8. Rev. Trend 72.52% = 5.44 |
| 9. EPS Trend -23.79% = -1.19 |
What is the price of AON shares?
Over the past week, the price has changed by +3.22%, over one month by -0.47%, over three months by -5.18% and over the past year by -8.55%.
Is Aon a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of AON is around 317.74 USD . This means that AON is currently overvalued and has a potential downside of -9.46%.
Is AON a buy, sell or hold?
- Strong Buy: 4
- Buy: 5
- Hold: 9
- Sell: 2
- Strong Sell: 0
What are the forecasts/targets for the AON price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 402.4 | 14.7% |
| Analysts Target Price | 402.4 | 14.7% |
| ValueRay Target Price | 351.2 | 0.1% |
AON Fundamental Data Overview November 11, 2025
P/E Trailing = 27.5896
P/E Forward = 18.6567
P/S = 4.3531
P/B = 9.9175
P/EG = 1.5682
Beta = 0.837
Revenue TTM = 17.03b USD
EBIT TTM = 4.28b USD
EBITDA TTM = 5.20b USD
Long Term Debt = 16.27b USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.92b USD (from shortTermDebt, last quarter)
Debt = 17.63b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 16.53b USD (from netDebt column, last quarter)
Enterprise Value = 90.45b USD (74.12b + Debt 17.63b - CCE 1.30b)
Interest Coverage Ratio = 5.16 (Ebit TTM 4.28b / Interest Expense TTM 830.0m)
FCF Yield = 3.36% (FCF TTM 3.04b / Enterprise Value 90.45b)
FCF Margin = 17.85% (FCF TTM 3.04b / Revenue TTM 17.03b)
Net Margin = 16.03% (Net Income TTM 2.73b / Revenue TTM 17.03b)
Gross Margin = 43.67% ((Revenue TTM 17.03b - Cost of Revenue TTM 9.59b) / Revenue TTM)
Gross Margin QoQ = 28.37% (prev 43.20%)
Tobins Q-Ratio = 1.75 (Enterprise Value 90.45b / Total Assets 51.64b)
Interest Expense / Debt = 1.17% (Interest Expense 206.0m / Debt 17.63b)
Taxrate = 19.26% (115.0m / 597.0m)
NOPAT = 3.46b (EBIT 4.28b * (1 - 19.26%))
Current Ratio = 1.06 (Total Current Assets 26.57b / Total Current Liabilities 25.10b)
Debt / Equity = 2.22 (Debt 17.63b / totalStockholderEquity, last quarter 7.94b)
Debt / EBITDA = 3.18 (Net Debt 16.53b / EBITDA 5.20b)
Debt / FCF = 5.44 (Net Debt 16.53b / FCF TTM 3.04b)
Total Stockholder Equity = 7.23b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.29% (Net Income 2.73b / Total Assets 51.64b)
RoE = 37.78% (Net Income TTM 2.73b / Total Stockholder Equity 7.23b)
RoCE = 18.24% (EBIT 4.28b / Capital Employed (Equity 7.23b + L.T.Debt 16.27b))
RoIC = 14.23% (NOPAT 3.46b / Invested Capital 24.30b)
WACC = 7.53% (E(74.12b)/V(91.75b) * Re(9.10%) + D(17.63b)/V(91.75b) * Rd(1.17%) * (1-Tc(0.19)))
Discount Rate = 9.10% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 3.57%
[DCF Debug] Terminal Value 74.88% ; FCFE base≈2.98b ; Y1≈3.04b ; Y5≈3.38b
Fair Price DCF = 229.1 (DCF Value 49.25b / Shares Outstanding 214.9m; 5y FCF grow 2.08% → 3.0% )
EPS Correlation: -23.79 | EPS CAGR: -19.94% | SUE: 1.09 | # QB: 2
Revenue Correlation: 72.52 | Revenue CAGR: 9.30% | SUE: 0.62 | # QB: 0
Additional Sources for AON Stock
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