1.48%
3.62%
1.44%
13.28%
24.70%
34.62%
68.97%
AI Spotlight on AON
Company Description
Aon plc, a professional services firm, provides advice and solutions to clients focused on risk, retirement, and health worldwide.It offers commercial risk solutions, including retail brokerage, cyber, and global risk consulting solutions, as well as acts as a captives management; and health solutions, such as health and benefits brokerages, and health care exchanges.The company also provides treaty and facultative reinsurance, as well as insurance-linked securities, capital raising, strategic advice, restructuring, and mergers and acquisitions services; and corporate finance advisory services and capital markets solutions products.
In addition, it offers strategic design consulting services on their retirement programs, actuarial services, and risk management services; advice services on developing and maintaining investment programs across a range of plan types, including defined benefit plans, defined contribution plans, endowments, and foundations for public and private companies, and other institutions; and advice and solutions that help clients in risk, health, and wealth through commercial risk, reinsurance, health, and wealth solutions.Further, the company offers CoverWallet; Affinity; Aon Inpoint; CoverWallet; and ReView services.Aon plc was founded in 1919 and is headquartered in Dublin, Ireland.
Market Data
| Last Price | 372.15 |
| Change Percentage | 1.48% |
| Open | 369.71 |
| Previous Close | 366.74 |
| Market Cap ( Millions) | 80483 |
| Volume | 2369621 |
| Year High | 395.33 |
| Year Low | 268.06 |
| M A 50 | 368.14 |
| M A 200 | 333.6 |
Financial Ratios
| FCF Yield | 3.58% |
| Dividend Yield | 0.71% |
| ROE | 87.43% |
| Debt / Equity | 288.29% |
| Net Debt / EBIDTA | 349.42% |
| Price To Book | 12.96 |
| Price Earnings Ratio | 33.21 |
| Price To FCF | 27.91 |
| Price To sales | 5.36 |
| EV / EBITDA | 20.14 |
News
- 11:01 - Aon Reports Fourth Quarter and Full Year 2024 Results
- Jan -30 - 5 Large-Cap Stocks Likely to Gain Post Earnings Release Tomorrow
- Jan -28 - Can AON Beat Q4 Earnings on Commercial Risk Solutions Strength?
- Jan -22 - CEO of Aon discusses the role of generative AI in the insurance market
- Jan -22 - Greater Insurability of Climate Risk is Key to Global Economic Resilience: Aon Catastrophe Report
- Jan -15 - Q1 2025 Insurance Labor Market Study Now Open for Participation
- Jan -14 - Sixty Percent of Employees Plan to Move Jobs This Year, Aon Study Finds
- Jan -10 - Aon Announces Quarterly Cash Dividend
- Jan -10 - Aon Announces Fourth Quarter and Full Year 2024 Earnings Release and Conference Call
- Jan -08 - Aon appoints John Neal as Global Chairman of Climate Solutions and Global CEO of Reinsurance
- Dec -31 - Here's Why Investors Should Hold on to AON Stock Right Now
- Dec -19 - WOODWARD PARK PARTNERS ADVISES SALUS GROUP IN ITS SALE TO NFP, A WHOLLY OWNED SUBSIDIARY OF AON
- Dec -12 - Aon and the European Bank for Reconstruction and Development launch innovative war risk insurance facility for Ukraine
- Dec -11 - U.S. Hospitals Report Lower Clinician Turnover, Aon Reports
- Dec -05 - Seventy-Five Percent of U.S. Employers Are Unprepared for Pay Transparency Laws, Aon Reports
- Dec -03 - Aon's Renewal of Aon Client Treaty Expands Insurance Capacity
- Dec -03 - Aon names Anne Corona as CEO of Enterprise Clients and Global Chief Commercial Officer
- Dec -02 - Aon Client Treaty Renews with Record-Setting Support for 2025
- Nov -29 - AON Stock Rises 42.6% in Six Months: Get It or Let It Go?
- Nov -19 - Jeeno Thitikul Wins $1 Million Prize in 2024 Aon Risk Reward Challenge
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Commercial Risk Solutions
Expected Growth : 9 %
What the company do ?
Aon's Commercial Risk Solutions provide risk management and insurance solutions to businesses, helping them identify, assess, and mitigate risks to achieve their goals.
Why we expect these perspectives ?
Aon's Commercial Risk Solutions segment growth is driven by increasing demand for risk management services, expansion into emerging markets, and strategic acquisitions. Additionally, the rise of cyberattacks and regulatory requirements are fueling growth in the risk consulting and insurance brokerage businesses. Furthermore, Aon's investments in digital platforms and data analytics are enhancing client engagement and retention, contributing to the 9% growth rate.
Segment n°2 -> Reinsurance Solutions
Expected Growth : 11 %
What the company do ?
Aon plc's Reinsurance Solutions provide risk management and capital optimization strategies to insurers, helping them manage volatility and improve financial performance.
Why we expect these perspectives ?
Aon plc's Reinsurance Solutions growth is driven by increasing demand for risk management, expansion into emerging markets, and strategic partnerships. Additionally, the rise of InsurTech and digitalization in the industry, coupled with Aon's expertise in data analytics and advisory services, contribute to the 11% growth.
Segment n°3 -> Health Solutions
Expected Growth : 8 %
What the company do ?
Aon plc's Health Solutions provide data-driven insights and consulting services to help employers and insurers manage healthcare costs and improve employee well-being.
Why we expect these perspectives ?
Aon plc's Health Solutions segment growth is driven by increasing demand for employee wellness programs, rising healthcare costs, and growing adoption of digital health technologies. Additionally, the shift towards value-based care, expansion into emerging markets, and strategic acquisitions are contributing to the 8% growth rate.
Segment n°4 -> Wealth Solutions
Expected Growth : 12 %
What the company do ?
Aon's Wealth Solutions provide investment, retirement, and benefits administration services to help organizations and individuals manage their wealth and achieve financial goals.
Why we expect these perspectives ?
Aon plc's Wealth Solutions segment growth of 12% is driven by increasing demand for retirement and investment solutions, expansion into emerging markets, strategic acquisitions, and innovative digital platforms. Additionally, the rising need for risk management and employee benefits solutions, as well as the growing importance of financial wellness programs, contribute to the segment's growth.
Segment n°5 -> Elimination
Expected Growth : 0 %
What the company do ?
Aon plc's Elimination refers to the accounting process of removing inter-company transactions and balances to present a consolidated financial statement, ensuring a true picture of the company's performance.
Why we expect these perspectives ?
Aon plc's elimination is attributed to stagnant growth, lack of innovation, and failure to adapt to changing market conditions. The company's inability to diversify its revenue streams, high operational costs, and intense competition in the insurance brokerage industry have hindered its growth.
Aon Plc Products
| Product Range | What is it ? |
|---|---|
| Risk Management | Aon's risk management services help clients identify, assess, and mitigate risks to their business, including property, casualty, and financial risks. |
| Retirement Solutions | Aon's retirement solutions provide employers with customized retirement plans and administration services to help employees achieve their retirement goals. |
| Health and Benefits | Aon's health and benefits services help clients design and administer employee benefits programs, including health, life, and disability insurance. |
| Investment Consulting | Aon's investment consulting services provide clients with investment advice and portfolio management solutions to help them achieve their investment goals. |
| Talent, Rewards, and Performance | Aon's talent, rewards, and performance services help clients develop and implement compensation and benefits programs to attract and retain top talent. |
| Reinsurance Solutions | Aon's reinsurance solutions provide clients with customized reinsurance programs to help them manage risk and improve capital efficiency. |
| Data and Analytics | Aon's data and analytics services provide clients with data-driven insights and analytics to inform business decisions. |
Aon plc's Porter Forces
Threat Of Substitutes
Aon plc operates in a highly competitive industry, and there are many substitutes available to clients. However, Aon's strong brand recognition and diversified services help to mitigate the threat of substitutes.
Bargaining Power Of Customers
Aon plc's clients are largely institutional investors and corporations, which have limited bargaining power due to their reliance on Aon's expertise and services.
Bargaining Power Of Suppliers
Aon plc has a diversified supplier base, and its suppliers have limited bargaining power due to the company's large scale and global presence.
Threat Of New Entrants
The insurance brokerage industry has high barriers to entry, including regulatory requirements and the need for significant capital investment, which limits the threat of new entrants.
Intensity Of Rivalry
The insurance brokerage industry is highly competitive, with many established players competing for market share. Aon plc faces intense rivalry from its competitors, including Marsh & McLennan, Willis Towers Watson, and Arthur J. Gallagher & Co.
Strength
Weaknesses
Opportunities
Threats
Capital Structure
| Value | |
|---|---|
| Debt Weight | 107.83% |
| Debt Cost | 4.85% |
| Equity Weight | -7.83% |
| Equity Cost | 8.41% |
| WACC | 4.57% |
| Leverage | -1377.85% |
Aon plc : Quality Control
Aon plc passed 6 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| DBK.DE | Deutsche Bank Aktiengesellschaft provides investment, financial, and related products and services to private individuals, corporate entities, and institutional clients worldwide. Its Corporate Bank segment provides cash management, trade finance and … |
| DB1.DE | Deutsche Börse AG operates as an exchange organization in Europe, the United States, and the Asia-Pacific. The company operates through seven segments: Eurex (Financial Derivatives), EEX (Commodities), 360T (Foreign Exchange), … |
| WTW | Willis Towers Watson Public Limited Company operates as an advisory, broking, and solutions company worldwide. It operates through two segments, Health, Wealth and Career; and Risk and Broking. The company … |
| KBC.BR | KBC Group NV, together with its subsidiaries, provides integrated bank-insurance services primarily for retail, private banking, small and medium sized enterprises, and mid-cap clients. The company offers demand deposits and … |
| ALV.DE | Allianz SE, together with its subsidiaries, provides property-casualty insurance, life/health insurance, and asset management products and services worldwide. The company's Property-Casualty segment offers various insurance products, including motor liability and … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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KBC
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Deutsche Börse
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Allianz
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4
Deutsche Bank
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5
Aon
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6
