AEG vs. AON: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AEG and AON, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AON’s market capitalization of 76.61 billion USD is significantly greater than AEG’s 11.53 billion USD, highlighting its more substantial market valuation.
With betas of 0.90 for AEG and 0.86 for AON, both stocks show similar sensitivity to overall market movements.
AEG trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, AON is a standard domestic listing.
| Symbol | AEG | AON |
|---|---|---|
| Company Name | Aegon N.V. | Aon plc |
| Country | NL | IE |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Diversified | Insurance - Brokers |
| CEO | E. Lard Friese | Gregory Clarence Case |
| Price | 7.28 USD | 354.76 USD |
| Market Cap | 11.53 billion USD | 76.61 billion USD |
| Beta | 0.90 | 0.86 |
| Exchange | NYSE | NYSE |
| IPO Date | June 28, 1985 | June 2, 1980 |
| ADR | Yes | No |
Historical Performance
This chart compares the performance of AEG and AON by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AEG
7.56%
Insurance - Diversified Industry
- Max
- 19.59%
- Q3
- 17.66%
- Median
- 12.77%
- Q1
- 7.56%
- Min
- -4.43%
AEG’s Return on Equity of 7.56% is on par with the norm for the Insurance - Diversified industry, indicating its profitability relative to shareholder equity is typical for the sector.
AON
40.40%
Insurance - Brokers Industry
- Max
- 40.40%
- Q3
- 30.52%
- Median
- 22.48%
- Q1
- 4.38%
- Min
- -5.38%
In the upper quartile for the Insurance - Brokers industry, AON’s Return on Equity of 40.40% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
AEG
14,778.17%
Insurance - Diversified Industry
- Max
- 32.46%
- Q3
- 16.21%
- Median
- 9.46%
- Q1
- 2.09%
- Min
- -10.51%
Return on Invested Capital is often not a primary measure of capital efficiency in the Insurance - Diversified industry.
AON
10.73%
Insurance - Brokers Industry
- Max
- 11.62%
- Q3
- 11.18%
- Median
- 8.38%
- Q1
- 2.57%
- Min
- -1.51%
AON’s Return on Invested Capital of 10.73% is in line with the norm for the Insurance - Brokers industry, reflecting a standard level of efficiency in generating profits from its capital base.
Net Profit Margin
AEG
2.60%
Insurance - Diversified Industry
- Max
- 26.00%
- Q3
- 19.46%
- Median
- 9.37%
- Q1
- 5.55%
- Min
- -7.05%
Falling into the lower quartile for the Insurance - Diversified industry, AEG’s Net Profit Margin of 2.60% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
AON
15.58%
Insurance - Brokers Industry
- Max
- 21.33%
- Q3
- 15.86%
- Median
- 10.63%
- Q1
- 1.06%
- Min
- -2.28%
AON’s Net Profit Margin of 15.58% is aligned with the median group of its peers in the Insurance - Brokers industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
AEG
25.84%
Insurance - Diversified Industry
- Max
- 44.52%
- Q3
- 25.84%
- Median
- 14.16%
- Q1
- 6.78%
- Min
- -2.60%
AEG’s Operating Profit Margin of 25.84% is around the midpoint for the Insurance - Diversified industry, indicating that its efficiency in managing core business operations is typical for the sector.
AON
23.42%
Insurance - Brokers Industry
- Max
- 28.73%
- Q3
- 23.24%
- Median
- 21.46%
- Q1
- 10.89%
- Min
- 5.35%
An Operating Profit Margin of 23.42% places AON in the upper quartile for the Insurance - Brokers industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AEG | AON |
|---|---|---|
| Return on Equity (TTM) | 7.56% | 40.40% |
| Return on Assets (TTM) | 0.21% | 5.07% |
| Return on Invested Capital (TTM) | 14778.17% | 10.73% |
| Net Profit Margin (TTM) | 2.60% | 15.58% |
| Operating Profit Margin (TTM) | 25.84% | 23.42% |
| Gross Profit Margin (TTM) | 100.00% | 47.12% |
Financial Strength
Current Ratio
AEG
--
Insurance - Diversified Industry
- Max
- 4.41
- Q3
- 4.03
- Median
- 2.86
- Q1
- 2.82
- Min
- 2.82
Current Ratio data for AEG is currently unavailable.
AON
1.05
Insurance - Brokers Industry
- Max
- 1.90
- Q3
- 1.76
- Median
- 1.29
- Q1
- 1.14
- Min
- 1.05
AON’s Current Ratio of 1.05 falls into the lower quartile for the Insurance - Brokers industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
AEG
0.54
Insurance - Diversified Industry
- Max
- 0.54
- Q3
- 0.39
- Median
- 0.27
- Q1
- 0.21
- Min
- 0.13
AEG’s leverage is in the upper quartile of the Insurance - Diversified industry, with a Debt-to-Equity Ratio of 0.54. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
AON
2.64
Insurance - Brokers Industry
- Max
- 4.59
- Q3
- 2.12
- Median
- 0.59
- Q1
- 0.07
- Min
- 0.01
AON’s leverage is in the upper quartile of the Insurance - Brokers industry, with a Debt-to-Equity Ratio of 2.64. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio
AEG
1,113.58
Insurance - Diversified Industry
- Max
- 19.23
- Q3
- 17.46
- Median
- 7.97
- Q1
- 4.61
- Min
- -1.63
With an Interest Coverage Ratio of 1,113.58, AEG demonstrates a superior capacity to service its debt, placing it well above the typical range for the Insurance - Diversified industry. This stems from either robust earnings or a conservative debt load.
AON
4.51
Insurance - Brokers Industry
- Max
- 29.40
- Q3
- 16.65
- Median
- 7.25
- Q1
- 4.20
- Min
- 1.60
AON’s Interest Coverage Ratio of 4.51 is positioned comfortably within the norm for the Insurance - Brokers industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | AEG | AON |
|---|---|---|
| Current Ratio (TTM) | -- | 1.05 |
| Quick Ratio (TTM) | -- | 1.05 |
| Debt-to-Equity Ratio (TTM) | 0.54 | 2.64 |
| Debt-to-Asset Ratio (TTM) | 0.02 | 0.37 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.39 | 3.41 |
| Interest Coverage Ratio (TTM) | 1113.58 | 4.51 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AEG and AON. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AEG
5.02%
Insurance - Diversified Industry
- Max
- 8.16%
- Q3
- 5.54%
- Median
- 2.46%
- Q1
- 1.59%
- Min
- 0.00%
AEG’s Dividend Yield of 5.02% is consistent with its peers in the Insurance - Diversified industry, providing a dividend return that is standard for its sector.
AON
0.78%
Insurance - Brokers Industry
- Max
- 2.63%
- Q3
- 1.34%
- Median
- 0.79%
- Q1
- 0.00%
- Min
- 0.00%
AON’s Dividend Yield of 0.78% is consistent with its peers in the Insurance - Brokers industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
AEG
101.86%
Insurance - Diversified Industry
- Max
- 101.86%
- Q3
- 53.36%
- Median
- 21.69%
- Q1
- 5.33%
- Min
- 0.00%
AEG’s Dividend Payout Ratio of 101.86% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
AON
23.00%
Insurance - Brokers Industry
- Max
- 45.22%
- Q3
- 39.19%
- Median
- 29.49%
- Q1
- 3.85%
- Min
- 0.00%
AON’s Dividend Payout Ratio of 23.00% is within the typical range for the Insurance - Brokers industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AEG | AON |
|---|---|---|
| Dividend Yield (TTM) | 5.02% | 0.78% |
| Dividend Payout Ratio (TTM) | 101.86% | 23.00% |
Valuation
Price-to-Earnings Ratio
AEG
18.09
Insurance - Diversified Industry
- Max
- 18.52
- Q3
- 16.13
- Median
- 13.33
- Q1
- 9.73
- Min
- 2.62
A P/E Ratio of 18.09 places AEG in the upper quartile for the Insurance - Diversified industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
AON
30.13
Insurance - Brokers Industry
- Max
- 45.50
- Q3
- 35.20
- Median
- 30.00
- Q1
- 28.34
- Min
- 26.42
AON’s P/E Ratio of 30.13 is within the middle range for the Insurance - Brokers industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
AEG
2.03
Insurance - Diversified Industry
- Max
- 2.60
- Q3
- 2.07
- Median
- 1.20
- Q1
- 0.77
- Min
- 0.04
AEG’s Forward PEG Ratio of 2.03 is within the middle range of its peers in the Insurance - Diversified industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
AON
2.89
Insurance - Brokers Industry
- Max
- 3.32
- Q3
- 3.00
- Median
- 2.77
- Q1
- 2.41
- Min
- 2.09
AON’s Forward PEG Ratio of 2.89 is within the middle range of its peers in the Insurance - Brokers industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
AEG
0.37
Insurance - Diversified Industry
- Max
- 3.08
- Q3
- 2.00
- Median
- 1.15
- Q1
- 1.07
- Min
- 0.38
AEG’s P/S Ratio of 0.37 falls below the typical floor for the Insurance - Diversified industry. This could suggest the stock is overlooked or deeply undervalued relative to its sales, but may also reflect significant market concerns about its future.
AON
4.68
Insurance - Brokers Industry
- Max
- 7.38
- Q3
- 5.34
- Median
- 4.27
- Q1
- 2.32
- Min
- 0.27
AON’s P/S Ratio of 4.68 aligns with the market consensus for the Insurance - Brokers industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
AEG
1.33
Insurance - Diversified Industry
- Max
- 2.12
- Q3
- 1.80
- Median
- 1.59
- Q1
- 1.29
- Min
- 0.74
AEG’s P/B Ratio of 1.33 is within the conventional range for the Insurance - Diversified industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
AON
10.96
Insurance - Brokers Industry
- Max
- 10.90
- Q3
- 8.10
- Median
- 6.93
- Q1
- 4.15
- Min
- 1.12
At 10.96, AON’s P/B Ratio is at an extreme premium to the Insurance - Brokers industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | AEG | AON |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 18.09 | 30.13 |
| Forward PEG Ratio (TTM) | 2.03 | 2.89 |
| Price-to-Sales Ratio (P/S, TTM) | 0.37 | 4.68 |
| Price-to-Book Ratio (P/B, TTM) | 1.33 | 10.96 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 10.76 | 29.02 |
| EV-to-EBITDA (TTM) | 2.84 | 18.30 |
| EV-to-Sales (TTM) | 0.43 | 5.76 |