Aon plc Class A Ordinary Shares (UK) (AON) Company Bio
Aon plc AON provides risk management services, insurance and reinsurance brokerage, and human resource consulting and outsourcing services worldwide. It operates through two segments, Risk Solutions and HR Solutions. The company was founded in 1919 and is based in London, the United Kingdom.
AON Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for AON, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Aon plc ranked in the 32th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. The most interesting components of our discounted cash flow analysis for Aon plc ended up being:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 83. Its equity weight surpasses that of 69.78% of free cash flow generating stocks in the Financial Services sector.
AON's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 29.29% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as AON, try SAFT, MORN, PRAA, RAND, and BSIG.