AONNEUTRAL

EV/EBITDA

17.1x

Higher than 60% of Financial Services sector peers

Updated 1928h ago

Sector Performance

60th percentile

AON

17.1x

Sector Median

13.1x

Sector Avg

15.5x

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Deep Analysis

With an EV/EBITDA of 17.1x, Aon’s enterprise value is 17.1 times its earnings before interest, taxes, depreciation, and amortization — a measure that compares the total company value (including debt) to its core operating profit.

This ratio sits above the sector median of 11.6x, placing Aon in the 64th percentile among its Financial Services peers, meaning it is more expensive than roughly two-thirds of comparable firms. The metric has been perfectly stable over the last eight quarters, with a year-over-year change of +0.0% and a quarter-over-quarter change of +0.0%. A high valuation combined with absolute stagnation in the multiple suggests limited upside from multiple expansion, but also no worsening pressure — implying a steady, mature risk profile that offers neither strong opportunity nor acute danger. This stable, above-median EV/EBITDA level is consistent with the overall NEUTRAL verdict, as it reflects a fairly priced stock without clear catalysts for re-rating.

Frequently Asked Questions

What does the EV/EBITDA tell investors about AON?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does AON's EV/EBITDA compare to its sector?

AON's EV/EBITDA of 17.1x compares to a Financial Services sector median of 13.1x, placing it in the 60th percentile.

Who are AON's closest peers by EV/EBITDA?

The closest Financial Services peers by EV/EBITDA include: SCHW (12.6x), BAC (13.5x), PNC (11.6x), AFL (11.0x), PFG (10.8x).

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.