Aon plc (AON, $323.43) is expected to report earnings to rise 36.50% to $5.31 per share on April 28
Technical Analysis: AON's 10-Day RSI Indicator Signals Potential Downtrend
AON, a leading provider of risk management, insurance, and reinsurance brokerage, recently saw its 10-day Relative Strength Index (RSI) indicator move out of the overbought zone on April 25, 2023. This suggests that the stock's price may be shifting from an upward trend to a downward trend, which could be a signal for traders to sell or consider buying put options.
To support this analysis, Tickeron's A.I.dvisor tool was used to examine 47 instances where the 10-day RSI for AON moved out of the overbought zone. The results revealed that in 25 of those cases, the stock moved lower in the days that followed. This puts the odds of a move down at 53%, providing further evidence for a potential downtrend in the stock's price.
Earnings Analysis: AON's Strong Earnings Beat Estimates
In terms of AON's recent earnings report, the company beat the earnings per share (EPS) estimate of $3.67, reporting EPS of $3.89 for the quarter ending February 03. With 39.25K shares outstanding, AON's current market capitalization sits at 67.16B, indicating a strong financial position.
Despite the positive earnings report, technical analysis suggests that traders may want to be cautious about holding onto AON stock at this time. While past performance is not a guarantee of future results, the historical data analyzed by Tickeron's A.I.dvisor tool suggests that there is a higher probability of the stock moving down in the days that follow a move out of the overbought zone.
In conclusion, traders may want to consider selling AON stock or buying put options as the 10-day RSI indicator signals a potential downtrend in the stock's price. However, it's important to keep in mind that this is not a guarantee, and careful analysis of market trends and news should be considered before making any trading decisions.
AON's RSI Indicator recovers from oversold territory
The RSI Indicator for AON moved out of oversold territory on April 28, 2025. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 31 similar instances when the indicator left oversold territory. In of the 31 cases the stock moved higher. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Moving Average Convergence Divergence (MACD) for AON just turned positive on May 06, 2025. Looking at past instances where AON's MACD turned positive, the stock continued to rise in of 45 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AON advanced for three days, in of 344 cases, the price rose further within the following month. The odds of a continued upward trend are .
AON may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
The Momentum Indicator moved below the 0 level on May 06, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on AON as a result. In of 82 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
AON moved below its 50-day moving average on April 04, 2025 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for AON crossed bearishly below the 50-day moving average on April 08, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 16 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AON declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for AON entered a downward trend on May 06, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 59, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. AON’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: AON's P/B Ratio (957.781) is very high in comparison to the industry average of (72.373). P/E Ratio (26.346) is within average values for comparable stocks, (27.283). Projected Growth (PEG Ratio) (1.630) is also within normal values, averaging (2.037). Dividend Yield (0.007) settles around the average of (0.019) among similar stocks. P/S Ratio (5.051) is also within normal values, averaging (2.749).
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General Information
a provider of insurance brokerage, risk management and human capital consulting services
Industry InsuranceBrokersServices