Aon PLC (AON)vsRoyal Bank of Canada (RY)
AON
Aon PLC
$328.53
+1.95%
FINANCIAL SERVICES · Cap: $67.89B
RY
Royal Bank of Canada
$194.04
-0.48%
FINANCIAL SERVICES · Cap: $277.29B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 276% more annual revenue ($65.72B vs $17.49B). RY leads profitability with a 33.7% profit margin vs 22.5%. RY appears more attractively valued with a PEG of 2.53. RY earns a higher WallStSmart Score of 70/100 (B-).
AON
Strong Buy70
out of 100
Grade: B
RY
Strong Buy70
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 40 in profit
Strong operational efficiency at 35.8%
Large-cap with strong market position
Keeps 23 of every $100 in revenue as profit
Attractively priced relative to earnings
Earnings expanding 27.1% YoY
Mega-cap, among the largest globally
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 45.3%
Generating 37.3B in free cash flow
Reasonable price relative to book value
16.1% revenue growth
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Distress zone — elevated risk
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : AON
The strongest argument for AON centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 22.5% and operating margin at 35.8%.
Bull Case : RY
The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.7% and operating margin at 45.3%. Revenue growth of 16.1% demonstrates continued momentum.
Bear Case : AON
The primary concerns for AON are Debt/Equity, PEG Ratio, Altman Z-Score. Debt-to-equity of 1.56 is elevated, increasing financial risk.
Bear Case : RY
The primary concerns for RY are PEG Ratio.
Key Dynamics to Monitor
AON profiles as a mature stock while RY is a growth play — different risk/reward profiles.
RY carries more volatility with a beta of 0.94 — expect wider price swings.
RY is growing revenue faster at 16.1% — sustainability is the question.
RY generates stronger free cash flow (37.3B), providing more financial flexibility.
Bottom Line
AON scores higher overall (70/100 vs 70/100), backed by strong 22.5% margins. Both earn "Strong Buy" and "Strong 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.
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.
Royal Bank of Canada
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Royal Bank of Canada is a globally diversified financial services company. The company is headquartered in Toronto, Canada.
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