Baidu Results Smash Expectations -- Is This a Return to Growth?
Over the past several quarters, Chinese search giant Baidu, Inc. (NASDAQ: BIDU) has struggled with sweeping changes to comply with new government regulations and weed out unethical advertising practices, causing a significant decline in the number of advertisers for its core search.
The company had been investing heavily in content for its iQiyi streaming service and the areas of artificial intelligence and autonomous driving. The combination of lower revenue and increased investment weighed heavily on its results, and the stock languished.
Going into its financial results, investors were looking for a return to revenue growth and signs that there was light at the end of the tunnel. Baidu delivered the goods, and investors were not disappointed, with the stock jumping by 10%.
Source: Fool.com
Baidu Inc. A ADR Stock
The stock is an absolute favorite of our community with 35 Buy predictions and no Sell predictions.
As a result the target price of 167 € shows a very positive potential of 63.41% compared to the current price of 102.2 € for Baidu Inc. A ADR.
