AON vs. BBD: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AON and BBD, 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 substantially larger than BBD’s 30.72 billion USD, indicating a significant difference in their market valuations.
AON’s beta of 0.86 points to significantly higher volatility compared to BBD (beta: 0.40), suggesting AON has greater potential for both gains and losses relative to market movements.
BBD is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. AON, on the other hand, is a domestic entity.
| Symbol | AON | BBD |
|---|---|---|
| Company Name | Aon plc | Banco Bradesco S.A. |
| Country | IE | BR |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Brokers | Banks - Regional |
| CEO | Gregory Clarence Case | Marcelo de Araujo Noronha |
| Price | 354.76 USD | 3.1 USD |
| Market Cap | 76.61 billion USD | 30.72 billion USD |
| Beta | 0.86 | 0.40 |
| Exchange | NYSE | NYSE |
| IPO Date | June 2, 1980 | August 2, 2002 |
| ADR | No | Yes |
Historical Performance
This chart compares the performance of AON and BBD 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
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.
BBD
11.17%
Banks - Regional Industry
- Max
- 19.20%
- Q3
- 11.87%
- Median
- 9.48%
- Q1
- 6.66%
- Min
- -0.15%
BBD’s Return on Equity of 11.17% is on par with the norm for the Banks - Regional industry, indicating its profitability relative to shareholder equity is typical for the sector.
Return on Invested Capital
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.
BBD
1.93%
Banks - Regional Industry
- Max
- 13.33%
- Q3
- 7.16%
- Median
- 5.31%
- Q1
- 2.87%
- Min
- -3.49%
Return on Invested Capital is often not a primary measure of capital efficiency in the Banks - Regional industry.
Net Profit Margin
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.
BBD
13.16%
Banks - Regional Industry
- Max
- 32.03%
- Q3
- 21.35%
- Median
- 16.99%
- Q1
- 12.69%
- Min
- 0.27%
BBD’s Net Profit Margin of 13.16% is aligned with the median group of its peers in the Banks - Regional industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
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.
BBD
18.97%
Banks - Regional Industry
- Max
- 40.01%
- Q3
- 26.24%
- Median
- 21.14%
- Q1
- 15.85%
- Min
- 1.50%
BBD’s Operating Profit Margin of 18.97% is around the midpoint for the Banks - Regional industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | AON | BBD |
|---|---|---|
| Return on Equity (TTM) | 40.40% | 11.17% |
| Return on Assets (TTM) | 5.07% | 0.91% |
| Return on Invested Capital (TTM) | 10.73% | 1.93% |
| Net Profit Margin (TTM) | 15.58% | 13.16% |
| Operating Profit Margin (TTM) | 23.42% | 18.97% |
| Gross Profit Margin (TTM) | 47.12% | 58.38% |
Financial Strength
Current Ratio
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.
BBD
0.53
Banks - Regional Industry
- Max
- 0.39
- Q3
- 0.22
- Median
- 0.15
- Q1
- 0.10
- Min
- 0.01
For the Banks - Regional industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
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.
BBD
4.01
Banks - Regional Industry
- Max
- 1.74
- Q3
- 0.81
- Median
- 0.42
- Q1
- 0.18
- Min
- 0.00
With a Debt-to-Equity Ratio of 4.01, BBD operates with exceptionally high leverage compared to the Banks - Regional industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
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.
BBD
0.24
Banks - Regional Industry
- Max
- 1.58
- Q3
- 0.84
- Median
- 0.59
- Q1
- 0.35
- Min
- -0.35
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks - Regional industry.
Financial Strength at a Glance
| Symbol | AON | BBD |
|---|---|---|
| Current Ratio (TTM) | 1.05 | 0.53 |
| Quick Ratio (TTM) | 1.05 | 0.53 |
| Debt-to-Equity Ratio (TTM) | 2.64 | 4.01 |
| Debt-to-Asset Ratio (TTM) | 0.37 | 0.33 |
| Net Debt-to-EBITDA Ratio (TTM) | 3.41 | 21.77 |
| Interest Coverage Ratio (TTM) | 4.51 | 0.24 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AON and BBD. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
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.
BBD
1.48%
Banks - Regional Industry
- Max
- 11.72%
- Q3
- 4.07%
- Median
- 3.00%
- Q1
- 1.68%
- Min
- 0.00%
BBD’s Dividend Yield of 1.48% is in the lower quartile for the Banks - Regional industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
Dividend Payout Ratio
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.
BBD
32.22%
Banks - Regional Industry
- Max
- 155.35%
- Q3
- 50.05%
- Median
- 34.14%
- Q1
- 18.61%
- Min
- 0.00%
BBD’s Dividend Payout Ratio of 32.22% is within the typical range for the Banks - Regional industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AON | BBD |
|---|---|---|
| Dividend Yield (TTM) | 0.78% | 1.48% |
| Dividend Payout Ratio (TTM) | 23.00% | 32.22% |
Valuation
Price-to-Earnings Ratio
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.
BBD
9.42
Banks - Regional Industry
- Max
- 22.32
- Q3
- 15.38
- Median
- 12.31
- Q1
- 10.72
- Min
- 4.30
In the lower quartile for the Banks - Regional industry, BBD’s P/E Ratio of 9.42 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
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.
BBD
0.72
Banks - Regional Industry
- Max
- 4.03
- Q3
- 2.13
- Median
- 1.25
- Q1
- 0.71
- Min
- 0.02
BBD’s Forward PEG Ratio of 0.72 is within the middle range of its peers in the Banks - Regional industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
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.
BBD
1.16
Banks - Regional Industry
- Max
- 4.28
- Q3
- 2.76
- Median
- 2.17
- Q1
- 1.71
- Min
- 0.55
The P/S Ratio is often not a primary valuation tool in the Banks - Regional industry.
Price-to-Book Ratio
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.
BBD
1.03
Banks - Regional Industry
- Max
- 1.99
- Q3
- 1.35
- Median
- 1.09
- Q1
- 0.92
- Min
- 0.33
BBD’s P/B Ratio of 1.03 is within the conventional range for the Banks - Regional 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.
Valuation at a Glance
| Symbol | AON | BBD |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 30.13 | 9.42 |
| Forward PEG Ratio (TTM) | 2.89 | 0.72 |
| Price-to-Sales Ratio (P/S, TTM) | 4.68 | 1.16 |
| Price-to-Book Ratio (P/B, TTM) | 10.96 | 1.03 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 29.02 | 35.13 |
| EV-to-EBITDA (TTM) | 18.30 | 28.59 |
| EV-to-Sales (TTM) | 5.76 | 4.86 |