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Research Alert: CFRA Keeps Hold Opinion On Shares Of Aon Plc
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Research Alert: CFRA Keeps Hold Opinion On Shares Of Aon Plc
Jul 29, 2025 6:20 AM

09:15 AM EDT, 07/29/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target price by $20 to $410, valuing the shares at 21.5x our 2026 adjusted EPS estimate of $19.10, versus its three-year average forward multiple of 20.8x and peer average of 22x. We lower our 2025 EPS estimate by $0.16 to $16.86 after AON posted Q2 EPS of $3.49, versus $2.93 a year earlier, lagging our $3.63 Q2 estimate but topping the $3.41 consensus view, on 11% revenue growth (6% organic growth), which was slightly better than our forecast of 6%-10% revenue growth. Following H1 2025's revenue growth of 13% (that included organic revenue growth of 5%), we now see 7%-12% revenue growth in 2025. Q2 2025 operating margins widened to 20.7%, from 17.4% a year earlier, though YTD operating margins narrowed to 26.1%, from 27.1% in H1 2024. Balanced against AON's mixed growth performance and the progress of its ongoing restructuring, we consider the shares, currently trading at 22x our 2025 EPS estimate, as fairly valued versus peer and historical averages, but still worth holding.

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