AIG vs. AON: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AIG and AON, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
AON stands out with 77.32 billion USD in market value—about 1.62× AIG’s market cap of 47.62 billion USD.
With betas of 0.70 for AIG and 0.89 for AON, both show similar volatility profiles relative to the overall market.
| Symbol | AIG | AON |
|---|---|---|
| Company Name | American International Group, Inc. | Aon plc |
| Country | US | IE |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Diversified | Insurance - Brokers |
| CEO | Mr. Peter Salvatore Zaffino | Mr. Gregory Clarence Case |
| Price | 82.63 USD | 358.06 USD |
| Market Cap | 47.62 billion USD | 77.32 billion USD |
| Beta | 0.70 | 0.89 |
| Exchange | NYSE | NYSE |
| IPO Date | January 2, 1973 | June 2, 1980 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AIG and AON over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of AIG and AON based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- AIG posts a negative P/E of -30.90, reflecting last year’s net loss, while AON at 30.41 signals healthy earnings.
- AIG posts a negative forward PEG of -1.65, hinting at anticipated earnings decline, whereas AON at 2.85 has projections for stable or growing earnings.
| Symbol | AIG | AON |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -30.90 | 30.41 |
| Forward PEG Ratio (TTM) | -1.65 | 2.85 |
| Price-to-Sales Ratio (P/S, TTM) | 1.75 | 4.73 |
| Price-to-Book Ratio (P/B, TTM) | 1.43 | 11.06 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 17.65 | 29.29 |
| EV-to-EBITDA (TTM) | 8.68 | 18.44 |
| EV-to-Sales (TTM) | 2.01 | 5.80 |
| EV-to-Free Cash Flow (TTM) | 20.32 | 35.93 |
Dividend Comparison
AIG’s dividend yield of 1.94% is about 150% higher than AON’s 0.77%, underscoring its stronger focus on returning cash to shareholders.
| Symbol | AIG | AON |
|---|---|---|
| Dividend Yield (TTM) | 1.94% | 0.77% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of AIG and AON, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- AIG’s current ratio of 0.00 signals a possible liquidity squeeze, while AON at 1.05 comfortably covers its short-term obligations.
- AIG’s quick ratio of 0.00 suggests it may struggle to cover immediate liabilities without selling inventory or raising cash, whereas AON at 1.05 maintains a comfortable buffer of liquid assets.
| Symbol | AIG | AON |
|---|---|---|
| Current Ratio (TTM) | 0.00 | 1.05 |
| Quick Ratio (TTM) | 0.00 | 1.05 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 2.64 |
| Debt-to-Assets Ratio (TTM) | 0.05 | 0.37 |
| Interest Coverage Ratio (TTM) | 8.29 | 4.51 |