Ratio Analysis: Unpacking Aon plc (AON)’s Price-to-Cash and Price-to-Free Cash Flow

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After finishing at $368.52 in the prior trading day, Aon plc (NYSE: AON) closed at $368.83, up 0.08%. In other words, the price has increased by $0.08 from its previous closing price. On the day, 1.15 million shares were traded.

Ratios:

Our goal is to gain a better understanding of AON by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 61.09 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 28.28. In the meantime, Its Debt-to-Equity ratio is 2.92 whereas as Long-Term Debt/Eq ratio is at 2.77.

Upgrades & Downgrades

In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for the company, Wells Fargo on January 14, 2025, Upgraded its rating to Overweight and sets its target price to $410 from $377 previously.

On January 08, 2025, Evercore ISI Upgraded its rating to Outperform which previously was In-line and also upped its target price recommendation from $407 to $420.

Wells Fargo Upgraded its Underweight to Equal Weight on October 28, 2024, whereas the target price for the stock was revised from $315 to $377.

Insider Transactions:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Feb 10 ’25 when Slyfield Jillian bought 260 shares for $384.86 per share.

Simon Mindy F. sold 650 shares of AON for $256,321 on Nov 27 ’24. The Chief Operating Officer now owns 1,816 shares after completing the transaction at $394.34 per share. On Nov 26 ’24, another insider, Stevens Lisa, who serves as the Chief Administrative Officer of the company, sold 1,275 shares for $387.68 each. As a result, the insider received 494,295 and left with 8,077 shares of the company.

Valuation Measures:

As of this moment, Aon’s Price-to-Earnings (P/E) ratio for their current fiscal year is 29.13, and their Forward P/E ratio for the next fiscal year is 19.15. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 2.62. For the stock, the TTM Price-to-Sale (P/S) ratio is 5.06 while its Price-to-Book (P/B) ratio in mrq is 13.02.

Stock Price History:

Over the past 52 weeks, AON has reached a high of $412.97, while it has fallen to a 52-week low of $268.06. The 50-Day Moving Average of the stock is -5.29%, while the 200-Day Moving Average is calculated to be 2.03%.

Shares Statistics:

A total of 216.00M shares are outstanding, with a floating share count of 209.07M. Insiders hold about 3.21% of the company’s shares, while institutions hold 88.35% stake in the company.

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