Aon vs Korn Ferry Which Is More Promising?

Aon and Korn Ferry are two prominent companies in the professional services industry, specializing in human resources and consulting services. Both companies boast strong track records of financial performance and strategic growth initiatives. Aon's diverse portfolio and global presence make it a top player in the industry, while Korn Ferry's focus on talent management and executive search services showcases its unique market position. Investors looking for exposure to the professional services sector may find opportunities in both Aon and Korn Ferry stocks, each offering distinct strengths and growth potential.

Aon or Korn Ferry?

When comparing Aon and Korn Ferry, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Aon and Korn Ferry.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Aon has a dividend yield of 0.86%, while Korn Ferry has a dividend yield of 2.25%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Aon reports a 5-year dividend growth of 4.18% year and a payout ratio of 22.13%. On the other hand, Korn Ferry reports a 5-year dividend growth of 16.00% year and a payout ratio of 34.87%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Aon P/E ratio at 34.24 and Korn Ferry's P/E ratio at 22.07. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Aon P/B ratio is 13.36 while Korn Ferry's P/B ratio is 2.33.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Aon has seen a 5-year revenue growth of 0.50%, while Korn Ferry's is 0.69%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Aon's ROE at 87.43% and Korn Ferry's ROE at 10.82%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $382.40 for Aon and $78.45 for Korn Ferry. Over the past year, Aon's prices ranged from $268.06 to $389.21, with a yearly change of 45.20%. Korn Ferry's prices fluctuated between $48.82 and $80.64, with a yearly change of 65.18%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.