Wells downgrades Aon to Underweight on below-peer growth

Wells Fargo downgraded Aon plc to Underweight from Equal Weight with a price target of $304, down from $317. The company’s organic growth in Q3 was 6%, below all its insurance broker peers, and its price performance “will be muted” at least until Aon sees a rebound in organic growth, the analyst tells investors in a research note. The firm recommends insurance brokers with the strongest organic revenue growth, and “right now that does not include AON.” While the company’s savings programs can help, its growth will be pressured in the near term, contends Wells.