Arthur J Gallagher & Co (AJG)vsAon PLC (AON)
AJG
Arthur J Gallagher & Co
$288.11
-2.26%
FINANCIAL SERVICES · Cap: $70.79B
AON
Aon PLC
$334.81
-2.78%
FINANCIAL SERVICES · Cap: $68.24B
Smart Verdict
WallStSmart Research — data-driven comparison
Aon PLC generates 15% more annual revenue ($17.68B vs $15.43B). AON leads profitability with a 22.2% profit margin vs 11.0%. AJG appears more attractively valued with a PEG of 0.99. AJG earns a higher WallStSmart Score of 70/100 (B-).
AJG
Strong Buy70
out of 100
Grade: B-
AON
Buy62
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Large-cap with strong market position
Growing faster than its price suggests
Revenue surging 25.9% year-over-year
Earnings expanding 49.0% YoY
Every $100 of equity generates 41 in profit
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 22.2%
Areas to Watch
ROE of 6.6% — below average capital efficiency
Premium valuation, high expectations priced in
Negative free cash flow — burning cash
Distress zone — elevated risk
2.6% revenue growth
Elevated debt levels
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AJG
The strongest argument for AJG centers on Debt/Equity, Market Cap, PEG Ratio. Revenue growth of 25.9% demonstrates continued momentum. PEG of 0.99 suggests the stock is reasonably priced for its growth.
Bull Case : AON
The strongest argument for AON centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.2% and operating margin at 22.2%.
Bear Case : AJG
The primary concerns for AJG are Return on Equity, P/E Ratio, Free Cash Flow. A P/E of 42.1x leaves little room for execution misses.
Bear Case : AON
The primary concerns for AON are Revenue Growth, Debt/Equity, PEG Ratio. Debt-to-equity of 1.64 is elevated, increasing financial risk.
Key Dynamics to Monitor
AJG profiles as a growth stock while AON is a value play — different risk/reward profiles.
AON carries more volatility with a beta of 0.69 — expect wider price swings.
AJG is growing revenue faster at 25.9% — sustainability is the question.
AON generates stronger free cash flow (483M), providing more financial flexibility.
Bottom Line
AJG scores higher overall (70/100 vs 62/100) and 25.9% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Arthur J Gallagher & Co
FINANCIAL SERVICES · INSURANCE BROKERS · USA
Arthur J. Gallagher & Co. (AJG) is an American global insurance brokerage and risk management services firm headquartered in Rolling Meadows, Illinois.
Aon PLC
FINANCIAL SERVICES · INSURANCE BROKERS · USA
Aon plc is a multinational professional services firm that sells a range of financial risk-mitigation products, including insurance, pension administration, and health-insurance plans.
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