Examining the Future: Aon's Earnings Outlook
Aon (NYSE:AON) is gearing up to announce its quarterly earnings on Friday, 2025-07-25. Here's a quick overview of what investors should know before the release.
Analysts are estimating that Aon will report an earnings per share (EPS) of $3.41.
Investors in Aon are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.
It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.
Overview of Past Earnings
In the previous earnings release, the company missed EPS by $0.35, leading to a 0.0% drop in the share price the following trading session.
Here's a look at Aon's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 6.02 | 4.25 | 2.48 | 3.08 |
| EPS Actual | 5.67 | 4.42 | 2.72 | 2.93 |
| Price Change % | -8.0% | -1.0% | 5.0% | 8.0% |
Performance of Aon Shares
Shares of Aon were trading at $357.28 as of July 23. Over the last 52-week period, shares are up 10.83%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Opinions on Aon
For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Aon.
The consensus rating for Aon is Outperform, based on 7 analyst ratings. With an average one-year price target of $406.71, there's a potential 13.84% upside.
Peer Ratings Overview
This comparison focuses on the analyst ratings and average 1-year price targets of Arthur J. Gallagher, Marsh & McLennan Cos and Brown & Brown, three major players in the industry, shedding light on their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Arthur J. Gallagher, with an average 1-year price target of $333.8, suggesting a potential 6.57% downside.
- Analysts currently favor an Neutral trajectory for Marsh & McLennan Cos, with an average 1-year price target of $228.33, suggesting a potential 36.09% downside.
- Analysts currently favor an Underperform trajectory for Brown & Brown, with an average 1-year price target of $114.38, suggesting a potential 67.99% downside.
Overview of Peer Analysis
The peer analysis summary offers a detailed examination of key metrics for Arthur J. Gallagher, Marsh & McLennan Cos and Brown & Brown, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Aon | Outperform | 16.19% | $2.48B | 14.70% |
| Arthur J. Gallagher | Neutral | 14.45% | $1.79B | 3.32% |
| Marsh & McLennan Cos | Neutral | 12.10% | $3.08B | 8.12% |
| Brown & Brown | Underperform | 11.96% | $702M | 4.94% |
Key Takeaway:
Aon ranks at the top for Revenue Growth among its peers. It also leads in Gross Profit. However, it falls behind in Return on Equity.
Delving into Aon's Background
Aon is a leading global provider of insurance and reinsurance brokerage and human resources solutions. Its operations are tilted toward its brokerage operations. Headquartered in London, Aon has about 50,000 employees and operations in over 120 countries.
Key Indicators: Aon's Financial Health
Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.
Positive Revenue Trend: Examining Aon's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 16.19% as of 31 March, 2025, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Financials sector.
Net Margin: Aon's net margin is impressive, surpassing industry averages. With a net margin of 20.41%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Aon's ROE stands out, surpassing industry averages. With an impressive ROE of 14.7%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Aon's ROA stands out, surpassing industry averages. With an impressive ROA of 1.94%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Aon's debt-to-equity ratio stands notably higher than the industry average, reaching 2.64. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
To track all earnings releases for Aon visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
