AON (NYSE:AON) Price Target Raised to $435.00

AON (NYSE:AON) had its price objective increased by Citigroup from $420.00 to $435.00 in a research report sent to investors on Thursday,Benzinga reports. Citigroup currently has a buy rating on the financial services provider’s stock.

Other equities research analysts also recently issued reports about the stock. Morgan Stanley raised their target price on shares of AON from $370.00 to $380.00 and gave the company an “overweight” rating in a research note on Monday, July 6th. JPMorgan Chase & Co. boosted their price target on shares of AON from $396.00 to $412.00 and gave the stock an “overweight” rating in a research note on Monday, July 13th. Weiss Ratings restated a “hold (c)” rating on shares of AON in a research report on Friday, July 17th. Piper Sandler lifted their price objective on shares of AON from $377.00 to $391.00 and gave the stock a “neutral” rating in a report on Thursday. Finally, Keefe, Bruyette & Woods cut their target price on shares of AON from $404.00 to $400.00 and set an “outperform” rating for the company in a research report on Wednesday, July 8th. Twelve equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $409.06.

AON Stock Down 1.6%

AON opened at $360.71 on Thursday. The firm has a market capitalization of $76.51 billion, a P/E ratio of 19.88, a price-to-earnings-growth ratio of 1.86 and a beta of 0.71. AON has a one year low of $304.59 and a one year high of $382.34. The company has a fifty day moving average price of $341.22 and a 200-day moving average price of $332.07. The company has a debt-to-equity ratio of 1.34, a current ratio of 1.54 and a quick ratio of 1.95.

AON (NYSE:AON) last issued its quarterly earnings data on Wednesday, July 29th. The financial services provider reported $3.81 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.80 by $0.01. The company had revenue of $4.25 billion for the quarter, compared to the consensus estimate of $4.28 billion. AON had a return on equity of 42.13% and a net margin of 22.27%.The firm’s revenue was up 2.2% compared to the same quarter last year. During the same quarter last year, the business posted $3.49 earnings per share. Equities research analysts expect that AON will post 19.09 earnings per share for the current fiscal year.

AON Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 14th. Investors of record on Monday, August 3rd will be given a $0.82 dividend. This represents a $3.28 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date is Monday, August 3rd. AON’s dividend payout ratio (DPR) is presently 18.08%.

Insiders Place Their Bets

In other AON news, General Counsel Darren Zeidel sold 1,900 shares of the business’s stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $377.76, for a total value of $717,744.00. Following the completion of the sale, the general counsel directly owned 11,504 shares of the company’s stock, valued at $4,345,751.04. The trade was a 14.17% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Insiders have sold 4,450 shares of company stock valued at $1,659,242 over the last ninety days. Insiders own 1.00% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Aviva PLC boosted its position in AON by 2.0% during the 4th quarter. Aviva PLC now owns 333,454 shares of the financial services provider’s stock valued at $117,669,000 after buying an additional 6,622 shares during the period. Mirae Asset Global Investments Co. Ltd. grew its holdings in AON by 21.0% in the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 37,552 shares of the financial services provider’s stock worth $13,251,000 after acquiring an additional 6,509 shares during the last quarter. Handelsbanken Fonder AB increased its position in shares of AON by 9.1% in the fourth quarter. Handelsbanken Fonder AB now owns 67,034 shares of the financial services provider’s stock valued at $23,655,000 after acquiring an additional 5,585 shares during the period. Northwestern Mutual Wealth Management Co. raised its stake in shares of AON by 1,864.5% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 343,754 shares of the financial services provider’s stock valued at $121,304,000 after acquiring an additional 326,256 shares during the last quarter. Finally, Highland Capital Management LLC purchased a new stake in shares of AON during the fourth quarter worth about $1,359,000. Hedge funds and other institutional investors own 86.14% of the company’s stock.

Key Stories Impacting AON

Here are the key news stories impacting AON this week:

• Positive Sentiment: Aon reported second-quarter adjusted earnings of $3.81 per share, narrowly above the $3.80 consensus and up from $3.49 a year earlier. Organic revenue growth reached 5%, while operating margins expanded and management reaffirmed its full-year guidance. Aon Q2 results and guidance
• Positive Sentiment: Growth in reinsurance and property-and-casualty businesses, combined with a record pace of share repurchases, strengthened the company’s capital-return story. Aon also declared a quarterly dividend of $0.82 per share. Aon buyback and Q2 growth
• Positive Sentiment: Citigroup raised its price target to $435 from $420 with a Buy rating, and Wells Fargo increased its target to $419 from $406 with an Overweight rating, signaling continued confidence in Aon’s longer-term earnings outlook.
• Neutral Sentiment: Revenue rose 2.2% year over year to $4.25 billion but missed the $4.28 billion estimate. Higher expenses and lower interest income limited the benefit from organic growth and acquisitions, leaving investors focused on whether revenue growth can accelerate.
• Neutral Sentiment: Aon said severe weather across the U.S. Midwest—including wind, hail and tornadoes—could rank among the top 10 costliest severe-weather events. The company also expects losses from the July Japan earthquake to be below those from the 2016 Kumamoto earthquake; these developments highlight insurance-market activity but have limited direct earnings impact for Aon.
• Negative Sentiment: General Counsel Darren Zeidel sold 1,900 shares for approximately $718,000, following additional sales earlier in July. Although he retains a sizable position, the repeated insider selling may weigh modestly on sentiment. Aon insider sale
• Negative Sentiment: WTW reported faster growth in its broking arm than Aon, Marsh and Gallagher, underscoring competitive pressure in Aon’s core brokerage market. WTW broking growth comparison

AON Company Profile

Aon plc is a global professional services firm that provides a broad suite of risk, retirement and health solutions to corporations, institutions and individuals. The company operates primarily as an insurance broker and risk adviser, helping clients identify, quantify and transfer risk across property, casualty, cyber and other areas. Aon also offers reinsurance brokerage and capital market solutions that connect insurers, reinsurers and corporate buyers.

In addition to traditional brokerage activities, Aon delivers consulting and outsourcing services in areas such as human capital, benefits, and retirement plan design and administration.