AON (NYSE:AON) Stock Price Expected to Rise, Keefe, Bruyette & Woods Analyst Says

AON (NYSE:AON) had its price objective hoisted by research analysts at Keefe, Bruyette & Woods from $412.00 to $417.00 in a note issued to investors on Tuesday, Benzinga reports. The brokerage presently has an “outperform” rating on the financial services provider’s stock. Keefe, Bruyette & Woods’ target price points to a potential upside of 27.66% from the company’s previous close.

Several other research firms also recently commented on AON. TD Cowen reissued a “buy” rating on shares of AON in a report on Tuesday. Mizuho reduced their price target on AON from $437.00 to $398.00 and set an “outperform” rating for the company in a report on Tuesday. BMO Capital Markets reiterated a “market perform” rating and issued a $360.00 price target (down from $375.00) on shares of AON in a research note on Tuesday. Morgan Stanley increased their price objective on shares of AON from $380.00 to $410.00 and gave the company an “overweight” rating in a research report on Wednesday, August 19th. Finally, Cantor Fitzgerald decreased their target price on shares of AON from $445.00 to $433.00 and set an “overweight” rating for the company in a report on Tuesday. Twelve research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $399.88.

AON Trading Up 1.6%

NYSE:AON traded up $5.14 during trading hours on Tuesday, hitting $326.66. The company had a trading volume of 1,157,713 shares, compared to its average volume of 1,425,834. The company has a debt-to-equity ratio of 1.34, a current ratio of 1.54 and a quick ratio of 1.54. The stock has a 50-day moving average price of $353.25 and a 200 day moving average price of $333.95. The company has a market capitalization of $69.29 billion, a PE ratio of 18.01, a price-to-earnings-growth ratio of 1.83 and a beta of 0.69. AON has a 52 week low of $304.59 and a 52 week high of $382.34.

AON (NYSE:AON) last posted its earnings results on Wednesday, July 29th. The financial services provider reported $3.81 earnings per share for the quarter, topping analysts’ consensus estimates of $3.80 by $0.01. The firm 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 business’s revenue for the quarter was up 2.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $3.49 EPS. On average, equities research analysts predict that AON will post 19.06 EPS for the current fiscal year.

Insider Buying and Selling at AON

In other AON news, General Counsel Darren Zeidel sold 1,950 shares of the stock in a transaction on Friday, July 17th. The stock was sold at an average price of $372.05, for a total value of $725,497.50. Following the completion of the sale, the general counsel owned 13,404 shares in the company, valued at approximately $4,986,958.20. This represents a 12.70% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. In the last 90 days, insiders have sold 4,450 shares of company stock worth $1,659,242. 1.00% of the stock is currently owned by insiders.

Institutional Trading of AON

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Corient Private Wealth LP raised its holdings in shares of AON by 80.0% during the 2nd quarter. Corient Private Wealth LP now owns 73,158 shares of the financial services provider’s stock worth $24,266,000 after acquiring an additional 32,505 shares in the last quarter. Groupe la Francaise bought a new position in AON during the second quarter valued at $108,000. CYBER HORNET ETFs LLC increased its holdings in shares of AON by 4,903.4% in the 2nd quarter. CYBER HORNET ETFs LLC now owns 29,470 shares of the financial services provider’s stock worth $9,775,000 after buying an additional 28,881 shares during the last quarter. California State Teachers Retirement System lifted its holdings in shares of AON by 32,835.5% in the 2nd quarter. California State Teachers Retirement System now owns 101,761,829 shares of the financial services provider’s stock valued at $33,753,381,000 after acquiring an additional 101,452,856 shares during the last quarter. Finally, Ameritas Advisory Services LLC purchased a new stake in AON during the second quarter valued at approximately $220,000. 86.14% of the stock is currently owned by institutional investors.

AON News Summary

Here are the key news stories impacting AON this week:

• Positive Sentiment: Mizuho maintained an “outperform” rating while lowering its price target from $437 to $398, implying substantial upside from recent levels. Mizuho price target report
• Positive Sentiment: Cantor Fitzgerald retained an “overweight” rating and reduced its target from $445 to $433, still indicating significant potential appreciation. Cantor Fitzgerald price target report
• Positive Sentiment: The USI acquisition would expand Aon’s U.S. middle-market presence, strengthen its excess-and-surplus insurance capabilities, and broaden its data and client platform. Aon expects approximately $395 million in annual run-rate adjusted EBITDA synergies and adjusted EPS accretion beginning in 2028. Aon USI acquisition announcement
• Neutral Sentiment: The transaction is expected to close in the fourth quarter, subject to regulatory approval. USI CEO Mike Sicard is slated to become Aon’s president and global CEO of middle-market operations. CNBC Aon USI deal report
• Negative Sentiment: AON declined sharply following the announcement as investors weighed the $17 billion purchase price and the planned issuance of new debt. Concerns center on leverage, execution risk, integration costs and the long wait before expected earnings accretion in 2028. Seeking Alpha Aon USI acquisition market reaction

About AON

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.