Aureus
AExcellent

Aon plc(AON)

A

Financial data as of Dec 31, 2025Improving · Financials

FCF Margin16.2%Free Cash Flow / Revenue
Cash Conversion94.2%Operating CF / Net Income
Free Cash Flow$3.2B
Revenue$17.2B
Net Cash-$14.9BNet debt position
Debt / FCF5.8xElevated debt burden
Current Ratio1.11Adequate short-term liquidity
YoY FCF Growth+22.4%4 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseA
→
+0.5Healthy FCF margin with manageable debt (16.2%, 5.8x; 0.3x sector-adjusted)
→
+1Strong YoY FCF growth (22.4% YoY)
→
+1Very low debt-to-FCF ratio (5.8x; 0.3x sector-adjusted)
→
FinalA

Analysis Summary

Strengths

  • Strong FCF margin (16.2%)
  • Strong YoY FCF growth (+22.4%)

Concerns

  • Heavy debt position ($14.9B net debt, 5.8x FCF)
  • High debt-to-FCF ratio (5.8x)
SBC-adjusted FCF used — $0.4B stock-based compensation (13% of reported FCF) subtracted

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin16.2%
Net Margin21.5%
Operating CF Margin20.3%
CapEx Ratio1.5%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$14.9BNet debt position
Debt / FCF5.8xElevated debt burden
Current Ratio1.11Adequate liquidity
Debt / Equity1.72Moderate leverage

Quarterly FCF Trend

+22.4% YoYImproving (+22.4%)

Free cash flow per quarter

Sector Comparison — Financials

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameAon plc
SectorFinancials
Free Cash Flow$3.2B
Revenue$17.2B
Net Income$3.7B
Operating Cash Flow$3.5B
Capital Expenditure$263.0M
FCF Margin16.2%
Cash Conversion Rate94.2%
Net Margin21.5%
Total Debt$16.1B
Total Cash$1.2B
Net Cash-$14.9B
Current Ratio1.11
Debt / Equity1.72
Debt / FCF5.8x
YoY FCF Growth+22.4%
Positive Quarters4 of 5
Trend DirectionImproving
Report DateDec 31, 2025
GradeA
Data SourceYahoo Finance

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