Aon PLC Valuation
| AON Stock | USD 360.38 1.08 0.30% |
At this time, the firm appears to be fairly valued. Aon PLC shows a prevailing Real Value of $353.81 per share. The current price of the firm is $360.38. Our model approximates the value of Aon PLC from analyzing the firm fundamentals such as Current Valuation of 94.64 B, return on equity of 0.82, and Profit Margin of 0.16 % as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Aon PLC's valuation include:
Price Book 12.4821 | Enterprise Value 94.6 B | Enterprise Value Ebitda 21.4749 | Price Sales 5.2216 | Forward PE 20.7039 |
Fairly Valued
Today
Please note that Aon PLC's price fluctuation is very steady at this time. Calculation of the real value of Aon PLC is based on 3 months time horizon. Increasing Aon PLC's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Aon PLC is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Aon Stock. However, Aon PLC's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 360.38 | Real 353.81 | Target 343.31 | Hype 360.24 |
The intrinsic value of Aon PLC's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Aon PLC's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Aon PLC helps investors to forecast how Aon stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Aon PLC more accurately as focusing exclusively on Aon PLC's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Aon PLC's intrinsic value based on its ongoing forecasts of Aon PLC's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Aon PLC's closest peers.
Aon PLC Cash |
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Aon Valuation Trend
Knowing Aon PLC's actual value is paramount for traders when making sound investment determinations. Using both Aon PLC's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Aon Revenue by Product
Aon PLC Total Value Analysis
Aon PLC is presently estimated to have company total value of 94.64 B with market capitalization of 77.94 B, debt of 12.03 B, and cash on hands of 690 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Aon PLC fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
94.64 B | 77.94 B | 12.03 B | 690 M |
Aon PLC Investor Information
About 89.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 1.7. Aon PLC recorded earning per share (EPS) of 11.68. The entity last dividend was issued on the 1st of November 2024. The firm had 3:2 split on the 18th of May 1999. Based on the measurements of operating efficiency obtained from Aon PLC's historical financial statements, Aon PLC is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in January.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.27 | 0.283 |
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| Total Cash From Operating Activities | 3.6 B | 3.4 B |
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| Operating Income | 4 B | 3.8 B |
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Aon PLC Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Aon PLC has an asset utilization ratio of 39.39 percent. This suggests that the Company is making $0.39 for each dollar of assets. An increasing asset utilization means that Aon PLC is more efficient with each dollar of assets it utilizes for everyday operations.Aon PLC Ownership Allocation
Aon PLC holds a total of 216.27 Million outstanding shares. The majority of Aon PLC outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Aon PLC to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Aon PLC. Please pay attention to any change in the institutional holdings of Aon PLC as this could imply that something significant has changed or is about to change at the company. Please note that on November 11, 2024, Representative Ro Khanna of US Congress acquired under $15k worth of Aon PLC's common stock.Aon PLC Profitability Analysis
The company reported the last year's revenue of 13.38 B. Total Income to common stockholders was 2.56 B with profit before taxes, overhead, and interest of 5.82 B.Aon PLC Past Distributions to stockholders
About Aon PLC Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Aon PLC. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Aon PLC based exclusively on its fundamental and basic technical indicators. By analyzing Aon PLC's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Aon PLC's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Aon PLC. We calculate exposure to Aon PLC's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Aon PLC's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 6.5 B | 6.2 B | |
| Pretax Profit Margin | 0.24 | 0.25 | |
| Operating Profit Margin | 0.28 | 0.27 | |
| Net Profit Margin | 0.19 | 0.20 | |
| Gross Profit Margin | 0.48 | 0.56 |
A single share of Aon PLC represents a small ownership stake in the entity. As a stockholder of Aon, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Aon PLC Dividends Analysis For Valuation
As of the 29th of December 2024, Dividends Paid is likely to drop to about 267.1 M. In addition to that, Dividend Yield is likely to drop to 0.01. At this time, Aon PLC's Earnings Yield is very stable compared to the past year. As of the 29th of December 2024, Price Earnings To Growth Ratio is likely to grow to 8.02, though Retained Earnings are likely to grow to (3.2 B).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 489 M | 267.1 M | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.19 | 0.18 | |
| Dividend Paid And Capex Coverage Ratio | 4.64 | 2.49 |
There are various types of dividends Aon PLC can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Aon shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Aon PLC directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Aon pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Aon PLC by the value of the dividends paid out.
Aon PLC Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 205 M | |
| Quarterly Earnings Growth Y O Y | -0.296 | |
| Forward Price Earnings | 20.7039 |
Aon PLC Current Valuation Indicators
Aon PLC's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Aon PLC's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Aon PLC, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Aon PLC's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Aon PLC's worth.When determining whether Aon PLC offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Aon PLC's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Aon Plc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Aon Plc Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Aon PLC. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons. To learn how to invest in Aon Stock, please use our How to Invest in Aon PLC guide.You can also try the Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Is Insurance Brokers space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Aon PLC. If investors know Aon will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Aon PLC listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.30) | Dividend Share 2.58 | Earnings Share 11.68 | Revenue Per Share 71.993 | Quarterly Revenue Growth 0.26 |
The market value of Aon PLC is measured differently than its book value, which is the value of Aon that is recorded on the company's balance sheet. Investors also form their own opinion of Aon PLC's value that differs from its market value or its book value, called intrinsic value, which is Aon PLC's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Aon PLC's market value can be influenced by many factors that don't directly affect Aon PLC's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Aon PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if Aon PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Aon PLC's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.