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Aon plc (AON) is a leading insurance brokers business with stocks listed in the US. It opened the day at US$232.41 after a previous close of US$233.46. During the day the price has varied from a low of USD229.95 to a high of USD233.3084. The latest price was USD231.075 (25 minute delay). Aon is listed on the NYSE. All prices are listed in US Dollars.
How to buy shares in Aon
- Compare share trading platforms. To buy shares in a US company from Australia you'll need to find a trading platform that offers access to US stock markets. If you're just starting out, look for a platform with low brokerage and foreign exchange fees.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, credit card or debit card.
- Search for Aon. Find the share by name or ticker symbol: AON. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Aon reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. At last close price of US$225.03, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs. You may be able to buy a fractional share of Aon, depending on your broker.
- Check in on your investment. Congratulations, you own a part of Aon. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
- Aon key stats
- Compare share trading platforms
- Is Aon stock a buy or sell?
- Aon performance over time
- Can I short Aon shares?
- Is Aon suitable for ethical investing?
- Are Aon shares over-valued?
- Aon's financials
- How volatile are Aon shares?
- Does Aon pay a dividend?
- Have Aon shares ever split?
- Other common questions
Aon share priceUse our graph to track the performance of AON stocks over time.
Aon shares at a glance
|52-week range||US$166.3121 - US$240.02|
|50-day moving average||US$230.8286|
|200-day moving average||US$214.1211|
|Dividend yield||US$1.78 (0.75%)|
|Earnings per share (TTM)||US$8.454|
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Is it a good time to buy Aon stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Aon price performance over time
|1 week (2021-04-15)||-2.29%|
|1 month (2021-03-19)||3.67%|
|3 months (2021-01-22)||11.92%|
|6 months (2020-10-22)||11.38%|
|1 year (2020-04-22)||27.25%|
|2 years (2019-04-22)||32.13%|
|3 years (2018-04-20)||60.42%|
|5 years (2016-04-22)||123.84%|
Is Aon under- or over-valued?
Valuing Aon stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Aon's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Aon's P/E ratio
Aon's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 28x. In other words, Aon shares trade at around 28x recent earnings.
That's comparable to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29).
Aon's PEG ratio
Aon's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 1.8001. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Aon's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Aon's EBITDA (earnings before interest, taxes, depreciation and amortisation) is US$3.3 billion (£2.4 billion).
The EBITDA is a measure of a Aon's overall financial performance and is widely used to measure a its profitability.
|Revenue TTM||US$11.1 billion|
|Operating margin TTM||26.36%|
|Gross profit TTM||US$5.2 billion|
|Return on assets TTM||5.93%|
|Return on equity TTM||57.37%|
|Market capitalisation||US$53.4 billion|
TTM: trailing 12 months
Shorting Aon shares
There are currently 22.9 million Aon shares held short by investors – that's known as Aon's "short interest". This figure is 7.6% down from 24.8 million last month.
There are a few different ways that this level of interest in shorting Aon shares can be evaluated.
Aon's "short interest ratio" (SIR)
Aon's "short interest ratio" (SIR) is the quantity of Aon shares currently shorted divided by the average quantity of Aon shares traded daily (recently around 1.8 million). Aon's SIR currently stands at 12.83. In other words for every 100,000 Aon shares traded daily on the market, roughly 12830 shares are currently held short.
However Aon's short interest can also be evaluated against the total number of Aon shares, or, against the total number of tradable Aon shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Aon's short interest could be expressed as 0.1% of the outstanding shares (for every 100,000 Aon shares in existence, roughly 100 shares are currently held short) or 0.1024% of the tradable shares (for every 100,000 tradable Aon shares, roughly 102 shares are currently held short).
A SIR above 10% would generally be considered pretty high, pointing to a potentially pessimistic outlook for the share price and a discouraging interest in betting against Aon.
Find out more about how you can short Aon stock.
Aon's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Aon.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Aon's total ESG risk score
Total ESG risk: 27.5
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Aon's overall score of 27.5 (as at 12/31/2018) is pretty good – landing it in it in the 35th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Aon is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Aon's environmental score
Environmental score: 3.06/100
Aon's environmental score of 3.06 puts it squarely in the 6th percentile of companies rated in the same sector. This could suggest that Aon is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Aon's social score
Social score: 14.44/100
Aon's social score of 14.44 puts it squarely in the 6th percentile of companies rated in the same sector. This could suggest that Aon is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Aon's governance score
Governance score: 16/100
Aon's governance score puts it squarely in the 6th percentile of companies rated in the same sector. That could suggest that Aon is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Aon's controversy score
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. Aon scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Aon has, for the most part, managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
|Total ESG score||27.5|
|Total ESG percentile||34.5|
|Environmental score percentile||6|
|Social score percentile||6|
|Governance score percentile||6|
|Level of controversy||2|
Aon share dividends
Dividend payout ratio: 19.1% of net profits
Recently Aon has paid out, on average, around 19.1% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 0.87% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Aon shareholders could enjoy a 0.87% return on their shares, in the form of dividend payments. In Aon's case, that would currently equate to about $1.78 per share.
While Aon's payout ratio might seem low, this can signify that Aon is investing more in its future growth.
Aon's most recent dividend payout was on 13 May 2021. The latest dividend was paid out to all shareholders who bought their shares by 29 April 2021 (the "ex-dividend date").
Have Aon's shares ever split?
Aon's shares were split on a 3:2 basis on 17 May 1999. So if you had owned 2 shares the day before before the split, the next day you'd have owned 3 shares. This wouldn't directly have changed the overall worth of your Aon shares – just the quantity. However, indirectly, the new 33.3% lower share price could have impacted the market appetite for Aon shares which in turn could have impacted Aon's share price.
Aon share price volatility
Over the last 12 months, Aon's shares have ranged in value from as little as US$166.3121 up to US$240.02. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Aon's is 0.8285. This would suggest that Aon's shares are less volatile than average (for this exchange).
Aon plc, a professional services firm, provides advice and solutions to clients focused on risk, retirement, and health worldwide. It offers commercial risk solutions, including retail brokerage, cyber, and global risk consulting solutions, as well as acts as a captive insurance solutions provider; and health solutions, such as health and benefits brokerages, and health care exchanges. The company also provides treaty and facultative reinsurance, as well as insurance-linked securities, capital raising, strategic advice, restructuring, and mergers and acquisitions services; and corporate finance advisory services and capital markets solutions products. In addition, it offers strategic design consulting services on their retirement programs, actuarial services, and risk management services; advice services on developing and maintaining investment programs across a range of plan types, including defined benefit plans, defined contribution plans, endowments, and foundations for public and private companies, and other institutions; and advice and solutions that help clients in accelerating business outcomes by enhancing the performance of their people, including assessment and optimized deployment, as well as the design, alignment, and benchmarking of compensation to business strategy and performance outcomes. Further, the company develops, markets, and administers customized insurance programs and specialty market solutions for organizations, and their members or affiliates; operates the Global Risk Insight Platform, which provides data, analytics, engagement, and consulting services; offers CoverWallet, a digital insurance platform for small- and medium-sized businesses; and provides ReView that provides advisory, analysis, and benchmarking services to help reinsurers. Aon plc was founded in 1919 and is headquartered in Dublin, Ireland.
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