Aon plc $AON Stock: Pinnacle Associates Ltd. Boosts Position

Key Points

• Pinnacle Associates increased its Aon position by 5,002.9% in the third quarter, bringing its holdings to 104,966 shares worth approximately $29.1 million. Institutional investors collectively own 86.14% of Aon’s stock.
• Aon recently reported quarterly EPS of $3.81, slightly above estimates, while revenue rose 2.2% year over year to $4.25 billion. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $367.59.
• Investor concerns include scrutiny over the price of Aon’s USI acquisition, easing insurance rates and ongoing U.S. litigation risks; Morgan Stanley also lowered its price target to $350. Aon declared a quarterly dividend of $0.82 per share, yielding about 1.1%.

Pinnacle Associates Ltd. lifted its position in Aon plc (NYSE:AON - Free Report) by 5,002.9% in the 3rd quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 104,966 shares of the financial services provider's stock after acquiring an additional 102,909 shares during the period. Pinnacle Associates Ltd.'s holdings in AON were worth $29,051,000 as of its most recent SEC filing.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Robeco Institutional Asset Management B.V. boosted its position in shares of AON by 11,179.6% during the third quarter. Robeco Institutional Asset Management B.V. now owns 4,026,135 shares of the financial services provider's stock valued at $1,114,313,000 after purchasing an additional 3,990,441 shares in the last quarter. Ninety One UK Ltd lifted its position in AON by 419.8% during the 3rd quarter. Ninety One UK Ltd now owns 836,932 shares of the financial services provider's stock valued at $231,638,000 after acquiring an additional 675,919 shares during the period. Arrowstreet Capital Limited Partnership boosted its stake in AON by 74.7% during the first quarter. Arrowstreet Capital Limited Partnership now owns 797,418 shares of the financial services provider's stock worth $257,391,000 after acquiring an additional 340,866 shares in the last quarter. The Manufacturers Life Insurance Company boosted its stake in AON by 136.1% during the first quarter. The Manufacturers Life Insurance Company now owns 547,850 shares of the financial services provider's stock worth $176,835,000 after acquiring an additional 315,817 shares in the last quarter. Finally, Amundi grew its holdings in AON by 23.5% in the first quarter. Amundi now owns 1,502,890 shares of the financial services provider's stock worth $485,103,000 after purchasing an additional 285,549 shares during the period. Hedge funds and other institutional investors own 86.14% of the company's stock.

More AON News

Here are the key news stories impacting AON this week:

• Positive Sentiment: Zacks Research projects Aon earnings of $20.05 per share in 2027 and $22.33 per share in 2028, compared with the current-year consensus of $18.73. The forecasts suggest continued earnings growth and may support the stock’s recent strength. Zacks Research earnings estimates
• Positive Sentiment: Aon said improving conditions in Canada’s property-and-casualty insurance market could create more favorable conditions for business decision-makers entering 2027, potentially supporting client activity and brokerage opportunities. Strong Canadian Property and Casualty Market Creates More Favourable Conditions for Business Decision Makers Entering 2027
• Neutral Sentiment: Aon highlighted that Canadian insurance rates are easing, while elevated U.S. litigation risks remain a challenge. Lower rates may benefit customers but could limit pricing-related revenue growth for brokers. Canadian businesses see insurance rates ease, but US litigation risks remain a problem
• Neutral Sentiment: Aon executives said reinsurers need to accept more risk, while the company’s industry outlook warned that traditional insurance “cash cows” are coming under pressure. The comments point to changing market conditions but do not represent a direct earnings revision. Aon's De Bosini: Reinsurers need to lean towards risk
• Negative Sentiment: Investor scrutiny of the price tag for Aon’s USI deal continues to pressure the shares, raising concerns about acquisition returns, integration execution and leverage. Aon plc Underperforms Amid Scrutiny Over USI Deal Price Tag
• Negative Sentiment: Morgan Stanley lowered its price target for Aon to $350, a cautious signal even though the target remains above the recent trading level. Morgan Stanley cuts target to $350

Analyst Upgrades and Downgrades

A number of analysts have recently commented on AON shares. UBS Group reissued a "neutral" rating on shares of AON in a research report on Monday, August 31st. Roth Capital set a $380.00 price target on AON and gave the company a "buy" rating in a report on Tuesday, September 1st. Bank of America upped their price target on shares of AON from $298.00 to $327.00 and gave the stock an "underperform" rating in a research note on Wednesday, July 15th. Mizuho cut their price objective on shares of AON from $366.00 to $324.00 and set an "outperform" rating on the stock in a research report on Wednesday, October 7th. Finally, Deutsche Bank Aktiengesellschaft restated a "hold" rating on shares of AON in a research note on Tuesday, September 1st. Twelve investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $367.59.

AON Trading Up 2.5%

Shares of NYSE:AON opened at $296.95 on Wednesday. The company has a debt-to-equity ratio of 1.34, a current ratio of 1.54 and a quick ratio of 1.54. Aon plc has a 1 year low of $266.33 and a 1 year high of $382.34. The company has a market cap of $62.99 billion, a P/E ratio of 16.37, a PEG ratio of 1.52 and a beta of 0.70. The stock's fifty day moving average price is $308.36 and its 200-day moving average price is $325.71.

AON (NYSE:AON - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The financial services provider reported $3.81 EPS for the quarter, topping the consensus estimate of $3.80 by $0.01. AON had a return on equity of 42.13% and a net margin of 22.27%. The company had revenue of $4.25 billion during the quarter, compared to the consensus estimate of $4.28 billion. During the same period last year, the company earned $3.49 EPS. AON's revenue for the quarter was up 2.2% on a year-over-year basis. Sell-side analysts expect that Aon plc will post 18.73 earnings per share for the current year.

AON Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Stockholders of record on Monday, November 2nd will be issued a dividend of $0.82 per share. This represents a $3.28 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend is Monday, November 2nd. AON's dividend payout ratio (DPR) is presently 18.08%.

Insider Buying and Selling

In related news, Director Lester Knight purchased 20,000 shares of AON stock in a transaction dated Wednesday, September 2nd. The stock was purchased at an average cost of $327.48 per share, for a total transaction of $6,549,600.00. Following the completion of the purchase, the director directly owned 163,000 shares of the company's stock, valued at $53,379,240. The trade was a 13.99% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, General Counsel Darren Zeidel sold 1,900 shares of the business's stock in a transaction that occurred on Tuesday, July 28th. The shares were sold at an average price of $377.76, for a total transaction of $717,744.00. Following the transaction, the general counsel directly owned 11,504 shares of the company's stock, valued at $4,345,751.04. The trade was a 14.17% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 1.00% of the company's stock.

AON Company Profile

Aon plc is a global professional services firm that helps organizations manage risk, make informed decisions and improve workforce outcomes. Its services span commercial risk, health, retirement and investments, and data and analytics.

The company provides insurance brokerage and risk-management services, including coverage placement, claims support, risk transfer and consulting. Through its reinsurance business, Aon also serves insurers and other organizations seeking to manage catastrophe, capital and underwriting risks.

Aon's human capital offerings include employee benefits consulting, retirement advisory services, talent and compensation consulting, and health and workforce solutions.

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