Aon plc (NYSE:AON) Stock Now Rated “Moderate Buy” by Sell-Side Analysts

Aon plc (NYSE:AON) has received a consensus recommendation of “Moderate Buy” from the twenty analysts that are currently covering the stock, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell rating, six have given a hold rating and twelve have assigned a buy rating to the company. The average twelve-month price target among brokers that have covered the stock in the last year is $367.59.

Several brokerages recently weighed in on AON. TD Cowen boosted their price objective on shares of AON from $416.00 to $420.00 and gave the stock a “buy” rating in a research note on Monday, September 14th. The Goldman Sachs Group raised their target price on AON from $375.00 to $401.00 and gave the stock a “buy” rating in a research report on Friday, July 31st. Wall Street Zen downgraded AON from a “hold” rating to a “sell” rating in a report on Sunday, September 6th. Evercore cut their target price on AON from $423.00 to $375.00 in a report on Thursday, October 8th. Finally, Weiss Ratings lowered AON from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, September 17th.

AON News Roundup

Here are the key news stories impacting AON this week:

• Positive Sentiment: Aon expanded its Ukraine Recovery and Reconstruction Guarantee Facility with the European Bank for Reconstruction and Development, increasing guarantee capacity from €110 million to €150 million. The program has already supported more than €500 million of reinsurance coverage across nearly 10,000 policies, strengthening Aon’s role in specialty war-risk insurance and Ukraine’s reconstruction market. Aon and the European Bank for Reconstruction and Development expand war risk insurance facility for Ukraine
• Positive Sentiment: Ukrainian insurers UNIVERSALNA and USG joined the facility, broadening its distribution and potential underwriting reach. The development is strategically favorable, though the immediate earnings contribution is likely limited. Vienna Insurance Group: Ukrainian company USG joins Aon and EBRD war risk insurance facility
• Positive Sentiment: Aon declared a quarterly dividend of $0.82 per share, or $3.28 annualized, supporting the stock’s income appeal and signaling continued capital-return capacity.
• Neutral Sentiment: Aon projects Asia-Pacific medical-cost inflation will slow to 9.7% in 2027. Lower cost growth may benefit employer clients, but it could also reduce pricing and premium-growth opportunities for benefits-related business. APAC Medical Cost Growth Projected to Slow to 9.7% in 2027, Aon Report
• Negative Sentiment: Analysts continued to lower their valuation targets: Wells Fargo reduced its target to $323, Evercore cut its target to $375 from $423, and Keefe, Bruyette & Woods lowered its target to $342 from $417. Although the firms remain constructive—KBW retained an “outperform” rating—the cuts reflect reduced expectations and are the clearest immediate pressure on AON.

Insider Buying and Selling

In other news, Director Lester B. Knight bought 20,000 shares of the firm’s stock in a transaction on Wednesday, September 2nd. The stock was acquired at an average price of $327.48 per share, with a total value of $6,549,600.00. Following the transaction, the director owned 163,000 shares of the company’s stock, valued at $53,379,240. This trade represents a 13.99% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, General Counsel Darren Zeidel sold 1,950 shares of the firm’s stock in a transaction that occurred on Friday, July 17th. The stock was sold at an average price of $372.05, for a total transaction of $725,497.50. Following the transaction, the general counsel owned 13,404 shares of the company’s stock, valued at approximately $4,986,958.20. The trade was a 12.70% decrease in their position. The SEC filing for this sale provides additional information. 1.00% of the stock is owned by insiders.

Institutional Investors Weigh In On AON

Institutional investors have recently modified their holdings of the company. Independent Franchise Partners LLP grew its stake in shares of AON by 0.9% in the 4th quarter. Independent Franchise Partners LLP now owns 2,115,523 shares of the financial services provider’s stock valued at $746,526,000 after buying an additional 19,037 shares during the period. Bank of America Corp DE increased its position in AON by 16.3% in the 1st quarter. Bank of America Corp DE now owns 1,582,680 shares of the financial services provider’s stock valued at $510,857,000 after buying an additional 222,092 shares in the last quarter. Amundi raised its stake in AON by 23.5% during the 1st quarter. Amundi now owns 1,502,890 shares of the financial services provider’s stock worth $485,103,000 after buying an additional 285,549 shares during the period. Dimensional Fund Advisors LP raised its stake in AON by 20.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,253,769 shares of the financial services provider’s stock worth $404,709,000 after buying an additional 213,051 shares during the period. Finally, Arrowstreet Capital Limited Partnership boosted its holdings in AON by 74.7% in the first quarter. Arrowstreet Capital Limited Partnership now owns 797,418 shares of the financial services provider’s stock worth $257,391,000 after acquiring an additional 340,866 shares in the last quarter. 86.14% of the stock is owned by institutional investors.

AON Stock Up 0.0%

NYSE:AON opened at $274.82 on Wednesday. The firm’s 50 day simple moving average is $315.32 and its 200 day simple moving average is $326.86. The company has a debt-to-equity ratio of 1.34, a current ratio of 1.54 and a quick ratio of 1.54. AON has a one year low of $266.33 and a one year high of $382.34. The company has a market cap of $58.30 billion, a PE ratio of 15.11, a P/E/G ratio of 1.41 and a beta of 0.70.

AON (NYSE:AON) last posted its earnings results on Wednesday, July 29th. The financial services provider reported $3.81 earnings per share for the quarter, topping analysts’ consensus estimates of $3.80 by $0.01. The firm had revenue of $4.25 billion for the quarter, compared to analyst estimates of $4.28 billion. AON had a net margin of 22.27% and a return on equity of 42.13%. The company’s revenue for the quarter was up 2.2% compared to the same quarter last year. During the same period in the previous year, the firm posted $3.49 EPS. On average, research analysts anticipate that AON will post 18.74 earnings per share for the current year.

AON Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, November 13th. Stockholders of record on Monday, November 2nd will be given a dividend of $0.82 per share. This represents a $3.28 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date is Monday, November 2nd. AON’s dividend payout ratio (DPR) is 18.08%.

AON Company Profile

Aon plc is a global professional services firm that helps organizations manage risk, make better decisions and improve performance. Its services are organized around risk capital and human capital, combining advisory expertise, data, analytics and insurance-related solutions.

The company provides commercial risk brokerage and consulting, reinsurance brokerage, retirement and investment advisory services, health benefits consulting, talent and compensation consulting, and related technology and data products.