Aon Earnings: Growth Holds Up

Aon finished the year on a solid note as growth accelerated slightly in the fourth quarter, with the company also closing the gap on its closest peer. In the quarter, overall revenue was up 8% year over year on a reported basis and 7% on an organic basis. We think Aon continues to benefit from some tailwinds, but the company will ultimately return to the low- to mid-single-digit growth it has generated historically. We will maintain our $291 per share fair value estimate for the narrow-moat company and see the shares as fairly valued.