S&P 500 (NYSE:SPY) component Aon Corp (NYSE:AON) will unveil its latest earnings on Friday, July 29, 2011. Aon Corp provides risk management and human capital consulting services, including insurance and reinsurance brokerage and workforce productivity solutions.
Aon Corp Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average estimate of analysts is for net income of 82 cents per share, a rise of 2.5% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged and it has not changed during the last month. For the year, analysts are projecting profit of $3.40 per share, a rise of 9% from last year.
Past Earnings Performance: The company fell in line with estimates last quarter after topping forecasts the quarter before. After coming in above the mean estimate by 3 cents in the fourth quarter of the last fiscal year, the company fell in line with expecations by reporting net income of 80 cents per share last quarter.
Wall St. Revenue Expectations: On average, analysts predict $2.74 billion in revenue this quarter, a rise of 44.2% from the year ago quarter. Analysts are forecasting total revenue of $11.13 billion for the year, a rise of 30.8% from last year’s revenue of $8.51 billion.
Analyst Ratings: Analysts are bullish on this stock with 11 analysts rating it as a buy, none rating it as a sell and six rating it as a hold.
The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 38.2% while it rose 16.7% in the fourth quarter of the last fiscal year and 20% in the third quarter of the last fiscal year.
The company’s revenue has now risen for two straight quarters. In first quarter, revenue increased 45.3% to $2.78 billion from the year earlier quarter. In the fourth quarter of the last fiscal year, the figure rose 40.5%.
Competitors to Watch: Arthur J. Gallagher & Co. (NYSE:AJG), Brown & Brown, Inc. (NYSE:BRO), Marsh & McLennan Companies, Inc. (NYSE:MMC), Willis Group Holdings PLC (NYSE:WSH), CNinsure Inc. (NASDAQ:CISG), Fortegra Financial Corp (NYSE:FRF), InsWeb Corporation (NASDAQ:INSW), eHealth, Inc. (NASDAQ:EHTH).
Stock Price Performance: During April 28, 2011 to July 25, 2011, the stock price had fallen $2.99 (-5.6%) from $53.28 to $50.29. The stock price saw one of its best stretches over the last year between February 3, 2011 and February 18, 2011 when shares rose for 12-straight days, rising 14.7% (+$6.77) over that span. It saw one of its worst periods between January 5, 2011 and January 13, 2011 when shares fell for seven-straight days, falling 2.6% (-$1.16) over that span. Shares are up $4.43 (+9.7%) year to date.
(Source: Xignite Financials)