Reading the tape
NYSE: AON
Aon plc
Financial Services · Insurance - Brokers
Market Cap
$66.80B
52w High
$381.00
52w Low
$304.59
P/E
17.00
Volume
942.87K
Outstanding Shares
213.58M
Price vs Fundamentals
Why The Stock Is Moving
Likely multiple compressionHigh confidence
1Y Price: -12.41%Revenue (TTM): 6.9%FCF (TTM): 32.46%P/FCF: 25th pct
What changed
The stock fell 12.41% over the last year. Revenue grew 6.9% over the trailing twelve months. Operating margin moved from 23.42% to 27.56%. Free cash flow grew 32.46% over the trailing twelve months.
What the market seems to be pricing
Visible fundamentals weakened far less than the stock price, and the shares now sit around the 25th percentile of their historical P/FCF range. That looks more like a rerating of the multiple than a collapse in the business.
What would invalidate this read
This read changes if operating margin (currently 27.56%) continues to decline, or if revenue growth turns negative. The bull case requires the business to hold its current trajectory.
Company profile
Aon plc, a professional services firm, provides advice and solutions to clients focused on risk, retirement, and health worldwide.
CEOGregory Clarence Case
SectorFinancial Services
IndustryInsurance - Brokers
Employees60,000
IPO dateJun 2, 1980
Valuation
Forward P/E—
EV/EBITDA17.06
Enterprise value$91.24B
Price / Book7.14
Stock splits
May 18, 1999↑ Forward
Every 2 shares became 3
May 15, 1997↑ Forward
Every 2 shares became 3
May 17, 1994↑ Forward
Every 2 shares became 3
May 27, 1987↑ Forward
Every 1 shares became 2
Profitability & growth
Standard profitability metrics can be misleading for financial/insurance companies. GAAP requires unrealized investment gains/losses in net income (affecting ROE), and margins are blended across diverse business segments.
Revenue growth6.45%
Gross margin65.98%▲0.99%vs FY2024
Operating margin27.56%▲3.50%vs FY2024
ROE39.51%▼8.88%vs FY2024
Analyst consensus
RatingBuy
Target price$404.20▲29.22%
19
Buy
18
Hold
1
Sell
Analyst ratings tend to be lagging indicators. Use as one signal among many.
Earnings
Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.
Next report
Jul 24, 2026
Q3 FY26 · EPS est $3.80 · Revenue est $4.31B
View
Dividends
$3.05/shareQuarterlyDividend Achiever · 23yrSafeAON pays a dividend with a 0.98% dividend yield, 23 consecutive years of growth, growing at 10.31% annually, covered 5.1× by free cash flow.
Dividend Yield
0.98%
Annual Div / Share
$3.05
5yr CAGR
+10.31%
Doubles every ~7.1yr
Payout Ratio
16.34%
Safe
Dividend Growth Rate
3yr CAGR
+10%
5yr CAGR
+10.31%
10yr CAGR
+9.26%
Dividend Safety
10/10Safe
Dividend History
Annualized dividend cycles per share
YearAnnual DivYoY
2026$3.06+10.3%
2025$2.77+9.9%
2024$2.52+9.8%
2023$2.29+9.8%
2022$2.09+11.8%
2021$1.87+6.3%
2020$1.76+7.3%
Income Projection
Invest
$
Growth rate:
Reinvest dividends
Today
$10/yr
$1/mo
In 5 yrs
$16/yr+63%
$1/mo
In 10 yrs
$26/yr+167%
$2/mo
| Today | In 5 yrs | In 10 yrs |
|---|---|---|
$10/yr $1/mo | $16/yr+63% $1/mo | $26/yr+167% $2/mo |
Yield-on-cost grows from 0.98% → 2.61% over 10yr
Analysis
Dividend Strengths
Dividend Achiever
AON has raised its dividend for 23 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.
Well-covered by free cash flow
The dividend is covered 5.1× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.
Strong dividend growth rate
The 5-year CAGR of 10.31% meaningfully outpaces inflation, compounding real income growth for long-term holders.
Risks to Watch
No strong risk signal stands out from the latest period pair.
Congressional Activity
Congress Trades in AON
STOCK Act disclosures from senators and representatives.
Michael McCaul
TXhouseRepublicanSaleSpouse2026-03-25$15,001 - $50,000+16d to discloseMichael McCaul
TXhouseRepublicanSaleSpouse2026-03-12$15,001 - $50,000+29d to discloseMichael McCaul
TXhouseRepublicanSaleSpouse2026-03-04$15,001 - $50,000+37d to disclose