AON (NYSE:AON) Upgraded at BMO Capital Markets

BMO Capital Markets upgraded shares of AON (NYSE:AON) from a market perform rating to an outperform rating in a research report sent to investors on Tuesday, MarketBeat Ratings reports. They currently have $380.00 price objective on the financial services provider’s stock, up from their prior price objective of $319.00.

Several other research firms also recently commented on AON. Zacks Research downgraded AON from a “hold” rating to a “strong sell” rating in a research report on Monday, October 26th. Wolfe Research lowered AON from a “hold” rating to a “strong sell” rating in a research note on Friday, September 11th. Bank of America boosted their target price on shares of AON from $298.00 to $327.00 and gave the company an “underperform” rating in a research note on Wednesday, July 15th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating on shares of AON in a report on Tuesday, September 1st. Finally, Mizuho dropped their target price on shares of AON from $366.00 to $324.00 and set an “outperform” rating for the company in a research report on Wednesday, October 7th. Thirteen research analysts have rated the stock with a Buy rating, six have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $369.12.

AON Stock Performance

NYSE:AON opened at $344.43 on Tuesday. AON has a 12-month low of $266.33 and a 12-month high of $382.34. The company has a quick ratio of 4.72, a current ratio of 4.72 and a debt-to-equity ratio of 2.58. The firm has a market capitalization of $73.07 billion, a PE ratio of 18.63, a price-to-earnings-growth ratio of 1.82 and a beta of 0.63. The firm has a 50-day moving average price of $300.76 and a 200 day moving average price of $325.95.

AON (NYSE:AON) last announced its quarterly earnings results on Wednesday, October 28th. The financial services provider reported $3.36 EPS for the quarter, topping analysts’ consensus estimates of $3.30 by $0.06. The firm had revenue of $4.10 billion during the quarter, compared to analysts’ expectations of $4.08 billion. AON had a net margin of 22.24% and a return on equity of 40.46%. The company’s revenue for the quarter was up 2.6% compared to the same quarter last year. During the same quarter last year, the company earned $3.05 earnings per share. Research analysts anticipate that AON will post 18.47 earnings per share for the current fiscal year.

AON Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Monday, November 2nd will be paid a $0.82 dividend. The ex-dividend date of this dividend is Monday, November 2nd. This represents a $3.28 annualized dividend and a dividend yield of 1.0%. AON’s dividend payout ratio (DPR) is currently 17.96%.

Insiders Place Their Bets

In other news, Director Lester Knight purchased 20,000 shares of the company’s stock in a transaction on Wednesday, September 2nd. The shares were purchased at an average cost of $327.48 per share, with a total value of $6,549,600.00. Following the completion of the transaction, the director owned 163,000 shares of the company’s stock, valued at $53,379,240. The trade was a 13.99% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 1.00% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. CENTRAL TRUST Co lifted its position in AON by 750.6% during the third quarter. CENTRAL TRUST Co now owns 7,587 shares of the financial services provider’s stock worth $2,100,000 after purchasing an additional 6,695 shares during the period. Fifth Third Bancorp increased its holdings in AON by 1,891.8% in the 3rd quarter. Fifth Third Bancorp now owns 545,959 shares of the financial services provider’s stock valued at $151,105,000 after buying an additional 518,548 shares during the period. Maryland State Retirement & Pension System increased its holdings in AON by 1,074.6% in the 3rd quarter. Maryland State Retirement & Pension System now owns 131,998 shares of the financial services provider’s stock valued at $36,533,000 after buying an additional 120,760 shares during the period. Ritholtz Wealth Management raised its position in shares of AON by 1,167.2% in the 3rd quarter. Ritholtz Wealth Management now owns 38,903 shares of the financial services provider’s stock valued at $10,767,000 after buying an additional 35,833 shares in the last quarter. Finally, Joel Isaacson & Co. LLC raised its position in shares of AON by 693.1% in the 3rd quarter. Joel Isaacson & Co. LLC now owns 20,128 shares of the financial services provider’s stock valued at $5,571,000 after buying an additional 17,590 shares in the last quarter. 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 renewed its Aon Client Treaty for 2027, raising co-insurance on eligible business from 28.5% to 35%. The expansion also applies the 1.5% client dividend to a larger share of eligible placements and adds facultative capacity. It strengthens Aon’s offering to clients, though the announcement did not quantify its earnings impact. Aon Client Treaty expands to 35% co-insurance for 2027
• Positive Sentiment: Aon and Munich Re launched a pandemic reinsurance solution for insurers in Indonesia and the Philippines, potentially creating a new offering in markets with coverage gaps. Aon and Munich Re launch pandemic reinsurance solution
• Neutral Sentiment: Analyst views were mixed: BMO Capital Markets upgraded AON, while UBS cut its price target; Cantor Fitzgerald and Wells Fargo coverage headlines also pointed to expected upside. BMO upgrades AON UBS cuts AON price target
• Negative Sentiment: Dowling & Partners lowered its 2026 EPS estimate to $18.50 from $18.70, although that remains close to the $18.49 consensus estimate. AON analyst estimate update

About AON

Aon plc is a global professional services firm that helps organizations manage risk, make informed decisions and improve workforce outcomes. Its services span commercial risk, health, retirement and investments, and data and analytics.

The company provides insurance brokerage and risk-management services, including coverage placement, claims support, risk transfer and consulting. Through its reinsurance business, Aon also serves insurers and other organizations seeking to manage catastrophe, capital and underwriting risks.

Aon’s human capital offerings include employee benefits consulting, retirement advisory services, talent and compensation consulting, and health and workforce solutions.