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Aon plc — Intrinsic Value & Fair Price

AON
NYSEFinancial ServicesInsurance - BrokersCIK 0000315293aon.comAbout AON
Last close · Oct 16, 2026292.55+5.75 (+2.00%)
Market cap$62.1B
Model value · DCF · Perpetuity growth · 5y
362.57
Aon closed at $292.55 — undervalued by 19% vs model.
202.82the model's range1,136.73

DCF · Perpetuity growth · 5y leads for a mature, steady company — positive operating income and three years of positive free cash flow. From a five-year discounted cash flow.

Other models
77.94 – 493.09
Wall St. target
355.00 18% below
Below model, 1y
20 of 20 days

Price and model value

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What the marks mean
Daily close

Dividends

Quarterly · as of Oct 16, 2026
Yield, trailing 12 months
1.07%
Past 2 years
low 0.66%high 1.16%
Dividends per share, a year at a time
$1.94Jul ’21$2.14Jul ’22$2.35Jul ’23$2.58Aug ’24$2.84Aug ’25$3.13TTM
Dividends / free cash flow, FY2025
19.5%
Raised
14 years in a row
Growth, 5 yrs
10.0% a year
Last change
+10.1% · May 2026
Every payment, with ex-dates · latest $0.82, paid Aug 14, 2026

Research on AON

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How it is valued

Valued asMature & stable
Moderate growth (~13% recent)High profitability (22% net margin)Pays dividendsHighly cyclical earningsStrong FCF yield (5.2%)
What growth the price implies: the reverse DCF

Key figures

FY2025 · chosen for mature companies
P/E
17.2×
EV / EBITDA
14.2×
FCF yield
5.1%
Dividend yield, TTM
1.07%
Beta
0.69
Cost of capital (WACC)
7.55%
On the lists: #8 Insider buying
Full financials

Analyst actions

third-party, quoted
10-12Wells Fargo · target323.00
10-07Mizuho Securities · target324.00
10-07Cantor Fitzgerald · target400.00
07-15Piper Sandler · “Neutral” from “Overweight”downgrade
Ratings, targets and estimates

Comparable companies

by business, not by industry label

The weekly

One email a week across every stock we cover: 13F filings, insider trades, earnings and new research. It covers the whole market, not just AON. No account.

About Aon

Aon plc operates as a professional services firm in the United States, rest of the Americas, the United Kingdom, Ireland, rest of Europe, the Middle East, Africa, and the Asia Pacific. It operates through Risk Capital and Human Capital segments. The company offers commercial risk solutions comprising retail and insurance brokerage, specialty solutions, global risk consulting, captives management, and affinity programs; health solutions, such as consulting and brokerage, consumer benefits, and talent advisory services; and wealth solutions, including retirement consulting and investments. It also provides treaty and facultative reinsurance; strategy and technology group solutions; insurance-linked securities, capital raising, strategic advice, restructuring, and merger and acquisition services; and risk management products and solutions, capital market solutions, and corporate finance advisory services. In addition, the company offers strategic design advice and actuarial services; pension risk transfer and integrated pension administration; and investment advisory services on developing and maintaining investment programs across various plan types, including defined benefit plans, defined contribution plans, master trusts, and pooled employer plans for corporations, public pensions, endowments, and foundations. Aon plc was incorporated in 1979 and is headquartered in Dublin, Ireland.

CEO
Gregory C. Case
Headquarters
Dublin, DU
Employees
60,000
IPO
1980-06-01
Full company profile

Model estimates for research reference only, not investment advice. Every model rests on assumptions that may not match what happens; the formulas are in how we value a stock.