Zacks: Brokerages Anticipate Aon PLC (AON) to Post $1.23 EPS

Analysts forecast that Aon PLC (NYSE:AON) will announce earnings per share of $1.23 for the current fiscal quarter, according to Zacks Investment Research. Four analysts have issued estimates for AON’s earnings, with the lowest EPS estimate coming in at $1.18 and the highest estimate coming in at $1.30. AON posted earnings per share of $1.29 in the same quarter last year, which would indicate a negative year over year growth rate of 4.7%. The firm is scheduled to issue its next quarterly earnings results before the market opens on Friday, October 26th.

According to Zacks, analysts expect that AON will report full-year earnings of $8.06 per share for the current financial year, with EPS estimates ranging from $7.99 to $8.23. For the next financial year, analysts expect that the company will report earnings of $9.18 per share, with EPS estimates ranging from $9.00 to $9.35. Zacks Investment Research’s earnings per share calculations are a mean average based on a survey of analysts that follow AON.

AON (NYSE:AON) last announced its quarterly earnings data on Friday, July 27th. The financial services provider reported $1.71 earnings per share for the quarter, topping the Zacks’ consensus estimate of $1.63 by $0.08. The firm had revenue of $2.56 billion during the quarter, compared to analyst estimates of $2.53 billion. AON had a net margin of 7.41% and a return on equity of 42.17%. The business’s quarterly revenue was up 9.8% on a year-over-year basis. During the same period in the previous year, the business posted $1.45 EPS.



A number of brokerages have recently weighed in on AON. Credit Suisse Group began coverage on shares of AON in a report on Tuesday, August 7th. They issued a “neutral” rating and a $154.00 price objective for the company. Wells Fargo & Co set a $143.00 price objective on shares of AON and gave the stock a “hold” rating in a report on Friday. Citigroup boosted their price objective on shares of AON from $167.00 to $180.00 and gave the stock a “buy” rating in a report on Friday, October 12th. Zacks Investment Research lowered shares of AON from a “buy” rating to a “hold” rating in a report on Friday, July 6th. Finally, Keefe, Bruyette & Woods restated a “buy” rating and issued a $164.00 price objective on shares of AON in a report on Sunday, July 29th. Seven research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. The stock has an average rating of “Hold” and a consensus target price of $157.50.

In related news, insider Michael Neller sold 750 shares of the company’s stock in a transaction on Monday, August 20th. The shares were sold at an average price of $143.58, for a total transaction of $107,685.00. Following the completion of the sale, the insider now directly owns 787 shares in the company, valued at approximately $112,997.46. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Jeffrey C. Campbell purchased 5,550 shares of the stock in a transaction that occurred on Monday, August 6th. The shares were purchased at an average price of $143.84 per share, with a total value of $798,312.00. Following the completion of the acquisition, the director now directly owns 7,084 shares in the company, valued at $1,018,962.56. The disclosure for this purchase can be found here. Over the last 90 days, insiders sold 8,750 shares of company stock valued at $1,327,685. Company insiders own 0.42% of the company’s stock.

Large investors have recently bought and sold shares of the stock. Townsend & Associates Inc bought a new stake in AON during the 2nd quarter valued at $106,000. Pinebridge Investments L.P. bought a new stake in AON during the 2nd quarter valued at $132,000. Shine Investment Advisory Services Inc. raised its holdings in AON by 1,468.2% during the 2nd quarter. Shine Investment Advisory Services Inc. now owns 1,035 shares of the financial services provider’s stock valued at $142,000 after buying an additional 969 shares during the last quarter. TRUE Private Wealth Advisors bought a new stake in AON during the 3rd quarter valued at $163,000. Finally, FUKOKU MUTUAL LIFE INSURANCE Co raised its holdings in AON by 50.0% during the 2nd quarter. FUKOKU MUTUAL LIFE INSURANCE Co now owns 1,200 shares of the financial services provider’s stock valued at $165,000 after buying an additional 400 shares during the last quarter. Institutional investors own 83.46% of the company’s stock.

Shares of AON traded up $2.33 during mid-day trading on Friday, reaching $152.31. The company’s stock had a trading volume of 2,578,246 shares, compared to its average volume of 991,941. The firm has a market cap of $36.75 billion, a price-to-earnings ratio of 23.36, a PEG ratio of 1.62 and a beta of 0.99. The company has a debt-to-equity ratio of 1.23, a quick ratio of 1.63 and a current ratio of 1.63. AON has a 52 week low of $130.87 and a 52 week high of $158.77.

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, November 15th. Stockholders of record on Thursday, November 1st will be issued a $0.40 dividend. The ex-dividend date of this dividend is Wednesday, October 31st. This represents a $1.60 dividend on an annualized basis and a dividend yield of 1.05%. AON’s payout ratio is 24.54%.

About AON

Aon plc provides risk management services, insurance and reinsurance brokerage, and human resource consulting and outsourcing services worldwide. The company operates through two segments, Risk Solutions and HR Solutions. The Risk Solutions segment offers retail brokerage services, including affinity products, managing general underwriting, placement, captive management services, and data and analytics; risk management solutions for property liability, general liability, professional liability, directors' and officers' liability, transaction liability, cyber liability, workers' compensation, and various healthcare products; and health and benefits consulting services comprising structuring, funding, and administering employee benefit programs.

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