AON (NYSE:AON) Posts Earnings Results

AON (NYSE:AON) released its earnings results on Wednesday. The financial services provider reported $3.81 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.80 by $0.01, FiscalAI reports. The firm had revenue of $4.25 billion during the quarter, compared to analyst estimates of $4.28 billion. AON had a net margin of 22.54% and a return on equity of 43.50%. The business’s revenue was up 2.2% on a year-over-year basis. During the same period last year, the business earned $3.49 earnings per share.

Here are the key takeaways from AON’s conference call:

• Broad-based second-quarter performance: Aon reported 5% organic revenue growth, 70 basis points of adjusted margin expansion to 28.9%, 9% adjusted EPS growth to $3.81, and $483 million in free cash flow. All four solution lines delivered 5% organic growth.
• 2026 outlook reaffirmed: Management maintained its expectations for mid-single-digit or greater organic revenue growth, 70–80 basis points of margin expansion, strong adjusted earnings growth, and double-digit free-cash-flow growth.
• Growth remains supported by consistent new business and retention, with new business contributing 10 points to second-quarter organic growth and retention in the mid-90% range. Revenue-generating headcount increased 3% year to date, while Aon continues targeting 4%–8% growth for the full year.
• Data-center and alternative-capital opportunities are expanding: Aon increased its Data Center Lifecycle Insurance Program capacity to $5 billion and said individual facilities can now receive coverage of up to $13 billion–$15 billion. Management sees substantial additional demand for nontraditional capital from private equity, pension funds, and sovereign investors.
• Aon returned $775 million to shareholders in the quarter, including $600 million in repurchases, and has exceeded its $1 billion full-year buyback objective after repurchasing approximately $1.1 billion in the first half. Management said additional cash could be directed to further buybacks if suitable acquisitions do not meet return thresholds.

AON Stock Performance

NYSE AON traded down $6.03 during trading hours on Wednesday, hitting $375.23. 727,210 shares of the company’s stock traded hands, compared to its average volume of 1,478,320. AON has a 52 week low of $304.59 and a 52 week high of $382.34. The firm has a market capitalization of $80.14 billion, a P/E ratio of 20.62, a P/E/G ratio of 1.92 and a beta of 0.71. The company has a current ratio of 1.95, a quick ratio of 1.95 and a debt-to-equity ratio of 1.36. The business’s fifty day moving average price is $338.54 and its two-hundred day moving average price is $331.59.

AON Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 14th. Investors of record on Monday, August 3rd will be given a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a yield of 0.9%. The ex-dividend date is Monday, August 3rd. AON’s payout ratio is 18.00%.

Insiders Place Their Bets

In other news, General Counsel Darren Zeidel sold 1,950 shares of AON stock in a transaction on Friday, July 17th. The shares were sold at an average price of $372.05, for a total transaction of $725,497.50. Following the transaction, the general counsel owned 13,404 shares in the company, valued at $4,986,958.20. This trade represents a 12.70% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Insiders own 1.00% of the company’s stock.

Hedge Funds Weigh In On AON

Several institutional investors and hedge funds have recently bought and sold shares of the stock. T. Rowe Price Investment Management Inc. lifted its position in shares of AON by 111.5% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 7,969 shares of the financial services provider’s stock valued at $2,813,000 after buying an additional 4,201 shares in the last quarter. Invesco Ltd. raised its stake in AON by 6.9% during the 4th quarter. Invesco Ltd. now owns 1,336,129 shares of the financial services provider’s stock worth $471,493,000 after acquiring an additional 86,717 shares during the period. Corient Private Wealth LLC lifted its holdings in AON by 31.7% during the fourth quarter. Corient Private Wealth LLC now owns 95,394 shares of the financial services provider’s stock valued at $33,663,000 after purchasing an additional 22,950 shares in the last quarter. Mercer Global Advisors Inc. ADV boosted its position in shares of AON by 29.5% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 16,870 shares of the financial services provider’s stock worth $5,953,000 after purchasing an additional 3,847 shares during the period. Finally, State of Tennessee Department of Treasury increased its stake in shares of AON by 2.8% in the fourth quarter. State of Tennessee Department of Treasury now owns 138,801 shares of the financial services provider’s stock worth $48,530,000 after purchasing an additional 3,814 shares in the last quarter. 86.14% of the stock is currently owned by hedge funds and other institutional investors.

Key AON News

Here are the key news stories impacting AON this week:

• Positive Sentiment: Aon reported second-quarter adjusted EPS of $3.81, above consensus estimates of $3.77-$3.80 and up from $3.49 a year earlier. The company also highlighted 5% organic revenue growth and operating-margin expansion. Aon Reports Second-Quarter 2026 Results
• Positive Sentiment: Management reported total revenue growth of approximately 2% for the quarter, with revenue up 2.2% year over year. Stronger organic growth and margin expansion support the company’s profitability outlook. Aon Q2 Key Metrics
• Positive Sentiment: Aon launched an AI Risk Diagnostic designed to help organizations identify and manage risks associated with artificial intelligence, potentially expanding its advisory opportunity in a growing market. Aon Launches AI Risk Diagnostic
• Neutral Sentiment: The company declared a quarterly dividend of $0.82 per share, equivalent to a $3.28 annualized payout and an indicated yield of roughly 0.9%. Aon Dividend Information
• Negative Sentiment: Quarterly revenue of $4.25 billion missed analyst expectations of $4.28 billion. The relatively limited 2.2% reported growth may have overshadowed the EPS beat and contributed to the weaker stock performance. Aon Q2 Earnings Beat Estimates
• Negative Sentiment: General Counsel Darren Zeidel sold 1,950 shares valued at approximately $725,000, reducing his ownership by 12.7%. The transaction occurred earlier in July and may be viewed as a modest insider-confidence signal, although it is not necessarily indicative of the company’s fundamentals. Aon Insider Sale

Wall Street Analyst Weigh In

Several equities research analysts have commented on AON shares. UBS Group boosted their target price on AON from $360.00 to $383.00 and gave the stock a “neutral” rating in a report on Wednesday, July 8th. Barclays raised their price objective on shares of AON from $372.00 to $382.00 and gave the company an “equal weight” rating in a research note on Tuesday, July 7th. Piper Sandler cut shares of AON from an “overweight” rating to a “neutral” rating and increased their price target for the company from $355.00 to $377.00 in a report on Wednesday, July 15th. Keefe, Bruyette & Woods decreased their price target on AON from $404.00 to $400.00 and set an “outperform” rating for the company in a research note on Wednesday, July 8th. Finally, Citigroup lifted their price objective on AON from $412.00 to $420.00 and gave the stock a “buy” rating in a report on Wednesday, May 27th. Twelve equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $404.56.

About AON

Aon plc is a global professional services firm that provides a broad suite of risk, retirement and health solutions to corporations, institutions and individuals. The company operates primarily as an insurance broker and risk adviser, helping clients identify, quantify and transfer risk across property, casualty, cyber and other areas. Aon also offers reinsurance brokerage and capital market solutions that connect insurers, reinsurers and corporate buyers.

In addition to traditional brokerage activities, Aon delivers consulting and outsourcing services in areas such as human capital, benefits, and retirement plan design and administration.