The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?
Let's take a look at what these Wall Street heavyweights have to say about Baidu Inc. (BIDU - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.
Baidu Inc. currently has an average brokerage recommendation (ABR) of 1.62, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 21 brokerage firms. An ABR of 1.62 approximates between Strong Buy and Buy.
Of the 21 recommendations that derive the current ABR, 15 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 71.4% and 4.8% of all recommendations.
Brokerage Recommendation Trends for BIDU
Check price target & stock forecast for Baidu Inc. here>>>
The ABR suggests buying Baidu Inc., but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Is BIDU a Good Investment?Looking at the earnings estimate revisions for Baidu Inc., the Zacks Consensus Estimate for the current year has declined 21.2% over the past month to $6.82.
Analysts' growing pessimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates lower, could be a legitimate reason for the stock to plunge in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #5 (Strong Sell) for Baidu Inc. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Therefore, it could be wise to take the Buy-equivalent ABR for Baidu Inc with a grain of salt.
Today’s Bear of the Day is a stock that actually looks great on paper. The problem is, for whatever reason, there has been a continued discount priced into the stock due to risks far beyond the company’s control. It operates in a high-margin, high-growth area of the market but because it’s in China, the US investor simply has not gotten on board.
I’m talking about Zacks Rank #5 (Strong Sell) Baidu ((BIDU - Free Report) ). Baidu is in the Internet – Services industry that actually ranks in the Top 40% of our Zacks Industry Rank. Baidu has long been viewed as China's answer to Google, but that comparison has become increasingly difficult to justify.
While the company remains dominant in Chinese search, the business that once generated dependable cash flow is no longer the growth engine it used to be. China's advertising market remains sluggish, businesses continue to spend cautiously, and competition from short-form video platforms and AI-powered search alternatives is steadily eroding Baidu's core franchise. Investors hoping AI would reignite growth have instead watched revenue remain largely stagnant while margins come under pressure.
The company's AI ambitions are substantial, but they're also expensive. Baidu has poured billions into its ERNIE large language model, autonomous driving platform Apollo, and AI cloud infrastructure. Unfortunately, those investments have yet to generate the kind of returns that justify the spending. Meanwhile, rivals including Alibaba, Tencent, ByteDance, and DeepSeek continue to intensify the AI arms race, making it increasingly difficult for Baidu to establish a durable competitive advantage. In AI, being first doesn't necessarily mean winning.
Over the course of the last week alone, two analysts have dropped their earnings estimates for the current year and next year. The bearish moves have pushed down our Zacks Consensus Estimate for the current year from $8.37 to $6.82 while next year’s number is off from $10.63 to $9.29. There are other stocks within the Internet – Services industry which are in the good graces of our Zacks Rank. These include Zacks Rank #1 (Strong Buy) Alphabet ((GOOG - Free Report) ) and Shopify ((SHOP - Free Report) ).
BEIJING, July 22, 2026 /PRNewswire/ -- Baidu, Inc. ("Baidu" or the "Company") (Nasdaq: BIDU; HKEX: 9888 (HKD Counter) and 89888 (RMB Counter)), a leading AI company with strong Internet foundation, today provides an update on the Company's proposed voluntary conversion of its secondary listing status on The Main Board of The Stock Exchange of Hong Kong Limited (the "Hong Kong Stock Exchange") to dual-primary listing (the "Primary Conversion"). Application for Conversion to Dual-Primary Listing.
For years, Chinese companies such as Alibaba and Baidu headed to the U.S. to list their shares, citing its deeper capital markets and higher valuations. Now, one American biotech firm is betting on doing the opposite.
Axiom Biosciences, a San Diego-based developer of regenerative and genetic medicines, plans to go public in Hong Kong in 2027, followed by a secondary U.S. listing in 2029. The company says the "contrarian" move will open the door to sophisticated, biotech-focused investors while bringing it closer to clinical and commercial partners across Asia.
"Some of the most important science in the world is being built in the United States, but the way it gets funded hasn't kept pace," said Remo Moomiaie-Qajar, founder and CEO of Axiom.
The Hong Kong exchange's stricter listing standards compared to the U.S. point to a mature biotech ecosystem, Moomiaie-Qajar told CNBC, while noting that recent biopharma listings in the city have outperformed those on the Nasdaq.
Public markets offer an alternative way to raise money as biotech firms face a tougher fundraising environment, he said. While clinical trials become more expensive as they progress, the pool of venture investors willing and able to write large checks gets smaller – especially for companies that did not secure major backers early on, he added.
Chinese biotech firms have flocked to the city's bourse amid a government push and as innovative drugmakers' financing needs grow. The Hang Seng Biotech Index in Hong Kong has climbed more than 75% since January 2025, surpassing the roughly 40%-50% gains in the ICE Biotechnology Index and the Nasdaq Biotechnology Index, tracking U.S.-listed firms during the same period, according to LSEG data.
"The U.S. remains the deepest and most institutionalized biotech capital pool in the world," said Danny Xiang, founding partner at the life science-focused private equity firm Fontus Capital. "That depth is precisely why the most fundable, globally competitive assets still raise and list in the U.S.," and why it's rare for a purely American biotech firm to choose Hong Kong as its primary venue, he said.
What's changed, however, is Hong Kong's growing appeal as one of the world's largest biotech fundraising hubs, with more than 70 listings in the sector and reforms introduced last year that streamlined their IPO process, Xiang said.
Global biotech firms are increasingly drawn to the city's expanding biopharma investor base and its proximity to Chinese pharmaceutical partners, which could help speed up clinical trials and lower costs.
Still, Xiang said, local investors tend to favor companies with a clear China connection, backing assets where they see opportunities to co-develop, manufacture or sell products with Chinese partners.
George Wu, a Hong Kong-based partner at law firm DLA Piper, said the Hong Kong biotech sector's lower valuations, relative to the Nasdaq, have also attracted more international investors seeking upside potential.
The U.S. is also on track for its strongest run of biotech IPOs in years, with both Parabilis Medicines, a clinical-stage cancer drug developer, and Kailera Therapeutics, an obesity-drug maker, soaring around 60% on their debuts earlier this year, after raising more than $600 million each. The SPDR S&P Biotech ETF (XBI) rallied 76% over the trailing year as of Tuesday.
Inventing vs. scalingBiotechnology has been a long-term priority for Beijing, which has spent decades funding basic research, reforming drug regulation, and attracting experienced scientists and executives trained abroad, including the U.S., back to China.
Lower labor and manufacturing costs, a deep pool of science graduates, access to large datasets, targeted uses of AI in areas such as drug design, and China's vast population – with many patients concentrated at major hospitals that can aid clinical-trial recruitment – have helped China advance in biologics, genomics and drug development, experts say.
However, a survey by the Cure Innovation Index in June found that despite leading in clinical development and supply chains, China still lags the U.S. in the quality, commercial reach and cutting-edge strength of its biomedical science.
"The U.S. leads '0-to-1'," in breakthroughs in foundational science and novel biology, Xiang said, while China increasingly leads "1-to-100," meaning fast, capital-efficient implementation to reach patients.
watch now
Axiom is co-developing a therapy with South Korea-based biopharma firm Medinno for newborns with severe brain injuries linked to high death rates. The therapy has received two U.S. Federal Drug Administration designations for rare pediatric diseases, and a Phase 1 trial involving nine newborns in South Korea has been completed.
Axiom also plans to study the treatment as a possible therapy for adults who have suffered strokes.
"Because there are no regenerative therapies for these brain injuries, it's imperative that we move through clinical trials as rapidly as possible. And I think Asia is the right place to do that," Moomiaie-Qajar told CNBC.
China closing inIn December, a bipartisan U.S. legislative commission warned that China was beginning to outpace the U.S. in some areas of biopharmaceutical innovation, building on "advantages gained from non-market practices and brute force economics" – a term used by some in Washington to describe China's state-led push for leadership in strategic industries.
The commission urged coordinated action across the public and private sectors to retain – and in some areas regain – U.S. biotechnology leadership.
Washington has moved against prominent Chinese biotech firms in recent years.
The Commerce Department has imposed export restrictions on several entities linked to genomics giant BGI Group, while the Pentagon last month added the pharmaceutical company WuXi AppTec to its list of firms that it alleges have ties to the Chinese military. WuXi sued the Department of Defense days later, seeking to overturn what it called an erroneous designation.
While Nasdaq and the New York Stock Exchange allow biotech firms to apply for a listing before they generate revenue or begin human testing, Hong Kong requires at least 12 months of research and development and a core product past the concept stage.
"A U.S. IPO is generally faster for a company that qualifies, and Hong Kong's review times have stretched as applications piled up," Xiang said.
Baidu Inc. (BIDU - Free Report) ended the recent trading session at $108.22, demonstrating a -1.45% change from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.89%. Elsewhere, the Dow gained 0.74%, while the tech-heavy Nasdaq added 1.29%.
Coming into today, shares of the web search company had lost 1.73% in the past month. In that same time, the Computer and Technology sector lost 6.6%, while the S&P 500 lost 0.63%.
The investment community will be closely monitoring the performance of Baidu Inc. in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $1.51, reflecting a 20.53% decrease from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $4.65 billion, reflecting a 1.86% rise from the equivalent quarter last year.
BIDU's full-year Zacks Consensus Estimates are calling for earnings of $6.82 per share and revenue of $19.73 billion. These results would represent year-over-year changes of -10.73% and +8.98%, respectively.
It's also important for investors to be aware of any recent modifications to analyst estimates for Baidu Inc. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 21.18% lower. Currently, Baidu Inc. is carrying a Zacks Rank of #5 (Strong Sell).
Valuation is also important, so investors should note that Baidu Inc. has a Forward P/E ratio of 16.11 right now. Its industry sports an average Forward P/E of 17.28, so one might conclude that Baidu Inc. is trading at a discount comparatively.
Also, we should mention that BIDU has a PEG ratio of 1.87. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. BIDU's industry had an average PEG ratio of 1.87 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 100, putting it in the top 41% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
Amova Asset Management Americas Inc. reduced its holdings in Baidu, Inc. (NASDAQ:BIDU – Free Report) by 15.0% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 567,778 shares of the information services provider’s stock after selling 99,861 shares during the quarter. Amova Asset Management Americas Inc. owned 0.17% of Baidu worth $63,262,000 at the end of the most recent quarter.
Several other institutional investors and hedge funds have also added to or reduced their stakes in BIDU. Morgan Stanley lifted its holdings in shares of Baidu by 38.0% during the fourth quarter. Morgan Stanley now owns 2,709,426 shares of the information services provider’s stock valued at $354,014,000 after purchasing an additional 745,588 shares during the last quarter. RPD Fund Management LLC increased its stake in Baidu by 161.6% in the 2nd quarter. RPD Fund Management LLC now owns 1,258,856 shares of the information services provider’s stock worth $107,959,000 after purchasing an additional 777,570 shares in the last quarter. Capital World Investors increased its stake in Baidu by 21.0% in the 4th quarter. Capital World Investors now owns 1,182,857 shares of the information services provider’s stock worth $154,552,000 after purchasing an additional 205,040 shares in the last quarter. ARK Investment Management LLC raised its holdings in Baidu by 127.8% during the 4th quarter. ARK Investment Management LLC now owns 1,157,878 shares of the information services provider’s stock worth $151,288,000 after buying an additional 649,490 shares during the period. Finally, Bank of America Corp DE raised its holdings in Baidu by 106.7% during the 3rd quarter. Bank of America Corp DE now owns 1,129,272 shares of the information services provider’s stock worth $148,804,000 after buying an additional 582,832 shares during the period.
Baidu Stock Performance Shares of NASDAQ BIDU opened at $109.81 on Tuesday. The business’s 50-day moving average price is $121.11 and its two-hundred day moving average price is $128.05. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.85 and a quick ratio of 1.85. Baidu, Inc. has a one year low of $84.64 and a one year high of $165.30. The company has a market capitalization of $37.36 billion, a P/E ratio of -915.01, a price-to-earnings-growth ratio of 1.94 and a beta of 0.56.
Wall Street Analysts Forecast Growth Several research firms have recently weighed in on BIDU. Barclays dropped their target price on shares of Baidu from $128.00 to $124.00 and set an “equal weight” rating on the stock in a research report on Monday, July 13th. BNP Paribas Exane started coverage on shares of Baidu in a research note on Wednesday, April 1st. They issued an “outperform” rating and a $161.00 price objective for the company. Zacks Research upgraded shares of Baidu from a “strong sell” rating to a “hold” rating in a research report on Monday, June 15th. Nomura increased their target price on Baidu from $186.00 to $190.00 and gave the company a “buy” rating in a report on Wednesday, May 20th. Finally, JPMorgan Chase & Co. decreased their target price on Baidu from $230.00 to $205.00 and set an “overweight” rating for the company in a research report on Friday. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, Baidu presently has a consensus rating of “Moderate Buy” and an average target price of $165.33.
Get Our Latest Report on Baidu
About Baidu (Free Report)
Baidu, Inc, founded in 2000 and headquartered in Beijing, is a Chinese multinational technology company best known for operating one of China’s leading internet search engines. The company built its business around online search and related advertising services, providing search, content aggregation and targeted ad placements to consumers and marketers across China. Baidu went public on the NASDAQ in 2005 and has since diversified beyond search into a broader technology and AI-focused portfolio.
Core products and services include the Baidu search platform and mobile app, Baidu Maps and Baidu Baike (an online encyclopedia), along with digital content initiatives.
Featured Stories Five stocks we like better than Baidu The Ugliest Stocks in the Market Just Got a Very Expensive Vote of Confidence Is Domino’s Stock Serving Up a Buying Opportunity? A $1T Black Hole: SpaceX Eyes Pentagon AI to Break Free Why Gold Miners Could Be the Market’s Biggest Comeback Story Want to see what other hedge funds are holding BIDU? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Baidu, Inc. (NASDAQ:BIDU – Free Report).
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For nearly two years, the knock on Apple (NASDAQ:AAPL | AAPL Price Prediction) was that it had fallen behind in artificial intelligence. A single approval out of Beijing just complicated that story, and it may vindicate one of Tim Cook’s most contrarian bets on Apple Intelligence China.
China’s Cyberspace Administration has approved Apple Intelligence for launch in China, clearing a regulatory hurdle in place since the feature debuted in 2024. The approval hinges on a partnership integrating Alibaba (NYSE:BABA) and its Qwen model into Apple’s operating systems, with Baidu (NASDAQ:BIDU) confirmed as a development partner.
Markets liked it. Apple shares climbed to a record high on the news, per CNBC’s reporting, driving the Apple stock record high narrative. In Hong Kong trading, Alibaba jumped 5% and Baidu rose 4%.
Why This Approval Mattered So Much Apple Intelligence had been stuck in China since 2024. Chinese rules require AI systems to run on approved domestic models, which is why the Alibaba Qwen and Baidu partnerships unlocked the door.
The stakes are visible. Apple’s Greater China sales hit $20.5 billion in the second quarter of 2026, up 28% year over year. Its share of China’s smartphone market rose to 18.1% from 13.9% a year earlier, according to IDC, helped by iPhone discounts during a recent shopping festival.
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The Tim Cook AI Strategy Everyone Called Risky While Microsoft, Google, Amazon, and Meta poured tens of billions into proprietary frontier models and data centers, Apple declined to join that arms race. It bet on a “model-agnostic” partnership approach, plugging in outside intelligence rather than owning it.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Apple didn't make the cut. Grab the names FREE today.
That looked passive to critics. But the China approval shows the upside. By partnering with Alibaba and Baidu, Apple met local regulatory requirements almost automatically. The same playbook is visible at home: Apple struck a multi-year deal to use Google’s Gemini to help power its revamped Siri, expected to launch in September, running in part on Google Cloud and Nvidia chips.
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Why the “Risky” Bet May Be Genius Cook’s strategy lets Apple wear different AI engines in different regulatory regimes without carrying the compute burden itself. Google’s Gemini powers the experience in the United States. Alibaba’s Qwen and Baidu handle China. Apple supplies the device, operating system, and distribution to more than 2.5 billion active devices.
As AI infrastructure costs balloon industry-wide, that capital-light model looks less like a weakness and more like a structural advantage. Rivals own the compute. Apple owns the customer.
The Case for Restraint This is one milestone in one market, well short of a finish line. No firm launch date for Apple Intelligence in China has been announced, so execution risk is real. Apple is also navigating a trade-secrets lawsuit against OpenAI, and it still trails Huawei, which remains the top smartphone seller in its home market of China.
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A strategy that looked like Apple sitting out the AI race now looks like a deliberate, capital-efficient way to run it. Whether it becomes a durable advantage depends on execution Apple has not yet delivered. For a “final bet” that Wall Street spent two years doubting, Tim Cook just got meaningful validation.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Apple didn't make the cut. Grab the names FREE today.
SummaryBaidu is upgraded to HOLD as ad weakness is priced in and AI/cloud offers potential upside catalysts.BIDU trades at 12.3x forward earnings, near 5- and 10-year P/E lows, with fair value estimated at $107–$134 per share.AI-driven segments, especially GPU cloud and Kunlunxin chip spinoffs, are key focus areas for future monetization and valuation uplift.Advertising remains pressured by China’s macro softness, but any AI monetization surprise could drive share price higher. V2images/iStock Unreleased via Getty Images
We preview Baidu’s (BIDU) upcoming Q2 earnings, which are expected to be released next month, and we upgrade BIDU to HOLD from our prior SELL rating.
Fundamental to our upgrade is twofold: first, the weakness in
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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Alibaba Group (BABA) and Baidu (BIDU) shares advanced after both companies confirmed partnerships with Apple (AAPL) to support the rollout of Apple Intelligence
Image Credits:Apple (event screenshot) Apple Intelligence, the iPhone maker’s generative AI offering, is coming to China.
On Wednesday, Reuters reported that China’s internet content regulator, the Cyberspace Administration of China, approved Apple’s AI services in the country on the back of a deal to integrate Alibaba’s Qwen AI model into Apple’s operating systems, including iOS, iPadOS, macOS, and visionOS.
On Wednesday evening, a Baidu spokesperson confirmed to TechCrunch that it is also working with Apple on developing Apple Intelligence features for Chinese users.
The Alibaba deal, which was rumored to be in the works last year, marks an important step for Apple’s AI ambitions in a key market. In the second quarter, Apple generated $20.5 billion in sales in Greater China, up 28% from a year earlier. Apple also recently regained its No. 2 position in China’s smartphone market after a recent shopping festival offered discounts on the iPhone lineup.
The Baidu partnership was also rumored, but reports at the time claimed Apple was facing issues adapting its models for Chinese customers. Apple is also said to be exploring integrations with DeepSeek and ByteDance.
A lack of approval by Chinese regulators has led to Apple Intelligence features, which debuted in 2024, being delayed in the Chinese market.
Alibaba earlier confirmed the company’s news to CNBC in a statement, saying that its Qwen models would be “integrated into Apple Intelligence experiences,” though it did not provide a time frame. It also said the integrations would involve AI capabilities like “text and image understanding and generation.”
This article was updated Thursday, July 16, to add the statement by Baidu.
, /PRNewswire/ -- Baidu, Inc. ("Baidu" or the "Company") (Nasdaq: BIDU; HKEX: 9888 (HKD Counter) and 89888 (RMB Counter)), a leading AI company with strong Internet foundation, today announced that the board of directors of the Company (the "Board") approved a motion to pursue the voluntary conversion to dual-primary listing (the "Primary Conversion") on the Main Board of The Stock Exchange of Hong Kong Limited (the "Hong Kong Stock Exchange"). The Primary Conversion is expected to become effective within this year. The Board also authorized the Company's management to proceed with the relevant preparatory work and undertake the necessary procedures to complete the Primary Conversion.
After the Primary Conversion, the Company will become a dual-primary listed company on the Main Board of the Hong Kong Stock Exchange and the Nasdaq Global Select Market, and its Class A ordinary shares and American depositary shares will continue to be traded on both stock exchanges (as the case may be) and remain mutually fungible. The Company believes that the dual-primary listing, once effective, will enhance the liquidity of its securities, broaden its investor base and provide greater flexibility in accessing both capital markets.
The Primary Conversion is conditional upon and subject to, among other things, market conditions and the obtaining of the necessary regulatory approvals. The Company will make further announcement(s) to disclose any material updates and progress with respect to the Primary Conversion in accordance with applicable laws and regulations as and when appropriate. This announcement is for information purposes only and does not constitute, or form part of, any invitation or offer to acquire, purchase or subscribe for any securities of the Company. Shareholders and potential investors should exercise caution when dealing in the securities of the Company.
About Baidu
Founded in 2000, Baidu's mission is to make the complicated world simpler through technology. Baidu is a leading AI company with strong Internet foundation, trading on Nasdaq under "BIDU" and HKEX under "9888". One Baidu ADS represents eight Class A ordinary shares.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "may," "will," "expect," "anticipate," "future," "intend," "plan," "believe," "estimate," "is/are likely to" and similar statements. Baidu may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC"), in announcements made on the website of the Hong Kong Stock Exchange, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about Baidu's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Baidu's growth strategies; its future business development, including development of new products and services; its ability to attract and retain users and customers; competition in the Chinese Internet search and newsfeed market; competition for online marketing customers; changes in the Company's revenues and certain cost or expense items as a percentage of its revenues; the outcome of ongoing, or any future, litigation or arbitration, including those relating to intellectual property rights; the expected growth of the Chinese-language Internet search and newsfeed market and the number of Internet and broadband users in China; Chinese governmental policies relating to the Internet and Internet search providers, and general economic conditions in China and elsewhere. Further information regarding these and other risks is included in the Company's annual report on Form 20-F and other documents filed with the SEC, and announcements on the website of the Hong Kong Stock Exchange. Baidu does not undertake any obligation to update any forward-looking statement, except as required under applicable law. All information provided in this announcement is as of the date of the announcement, and Baidu undertakes no duty to update such information, except as required under applicable law.
Shares of Chinese tech giants Alibaba and Baidu rose Thursday on their partnership with Apple for deploying their AI tools.
Hong-Kong listed shares of Alibaba rose 5% after the company confirmed that its Qwen AI model would be integrated into Apple services in China.
U.S.-listed shares of Alibaba had closed slightly higher overnight after an Alibaba spokesperson told CNBC that "Qwen will be integrated into Apple Intelligence experiences within iOS, iPadOS, macOS, and vision OS for users in China."
Alibaba HK shares
Baidu's Hong Kong-listed shares gained 4% as the company confirmed that it was working with Apple on Apple Intelligence features for iPhones in China.
This comes amid reports in late June that its artificial intelligence chip unit Kunlunxin is targeting an initial public offering in the city, which could value its affiliate at $50 billion.
The Cyberspace Administration of China in a notice on Wednesday included Apple Intelligence, along with six other smartphone-based AI services including Huawei Technologies, in a list of approved service providers.
The Apple-Qwen combination will allow users to access the model's capabilities, "like text and image understanding and generation, without needing to jump between tools," the Alibaba spokesperson added.
Apple did not immediately respond to CNBC's request for comments.
Baidu hk shares
The technological rivalry between China and the U.S. has intensified, as they race for AI dominance. The U.S. has sought to curb China's ability to access high-end chips, while Beijing has tried to wall off U.S. investments into Chinese tech companies.
"AI leadership is becoming central to economic competitiveness, global standard-setting, and the maintenance of democratic governance," according to a report by research organization RAND.
— CNBC's Evelyn Cheng, Joseph Wilkins and Kai Nicol-Schwarz contributed to this report.
Baidu Inc. (BIDU - Free Report) closed at $111.48 in the latest trading session, marking a +1.59% move from the prior day. This move outpaced the S&P 500's daily gain of 0.38%. Elsewhere, the Dow saw an upswing of 0.29%, while the tech-heavy Nasdaq appreciated by 0.62%.
The stock of web search company has fallen by 2.65% in the past month, lagging the Computer and Technology sector's loss of 0.53% and the S&P 500's gain of 1.61%.
Analysts and investors alike will be keeping a close eye on the performance of Baidu Inc. in its upcoming earnings disclosure. The company is forecasted to report an EPS of $2.13, showcasing a 12.11% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $4.87 billion, showing a 6.56% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $8.22 per share and revenue of $20.09 billion, indicating changes of +7.59% and +11%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Baidu Inc. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Baidu Inc. currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Baidu Inc. is currently being traded at a Forward P/E ratio of 13.35. This indicates a discount in contrast to its industry's Forward P/E of 17.16.
Meanwhile, BIDU's PEG ratio is currently 1.55. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 1.55 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 94, positioning it in the top 39% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
Baidu Inc. (BIDU - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Over the past month, shares of this web search company have returned -2.7%, compared to the Zacks S&P 500 composite's +1.6% change. During this period, the Zacks Internet - Services industry, which Baidu Inc. falls in, has gained 0.3%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Baidu Inc. is expected to post earnings of $2.13 per share, indicating a change of +12.1% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of $8.22 for the current fiscal year indicates a year-over-year change of +7.6%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $10.16 indicates a change of +23.6% from what Baidu Inc. is expected to report a year ago. Over the past month, the estimate has remained unchanged.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Baidu Inc..
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Baidu Inc., the consensus sales estimate of $4.87 billion for the current quarter points to a year-over-year change of +6.6%. The $20.09 billion and $22.4 billion estimates for the current and next fiscal years indicate changes of +11% and +11.5%, respectively.
Last Reported Results and Surprise HistoryBaidu Inc. reported revenues of $4.65 billion in the last reported quarter, representing a year-over-year change of +4%. EPS of $1.75 for the same period compares with $2.55 a year ago.
Compared to the Zacks Consensus Estimate of $4.66 billion, the reported revenues represent a surprise of -0.28%. The EPS surprise was -6.42%.
Over the last four quarters, Baidu Inc. surpassed consensus EPS estimates three times. The company topped consensus revenue estimates just once over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Baidu Inc. is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Baidu Inc.. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Baidu Inc. (BIDU - Free Report) closed at $113.39 in the latest trading session, marking a -3.52% move from the prior day. This change lagged the S&P 500's daily loss of 0.79%. Elsewhere, the Dow lost 0.26%, while the tech-heavy Nasdaq lost 1.55%.
The web search company's stock has climbed by 1.52% in the past month, falling short of the Computer and Technology sector's gain of 3.44% and the S&P 500's gain of 4.28%.
The investment community will be paying close attention to the earnings performance of Baidu Inc. in its upcoming release. The company is expected to report EPS of $2.13, up 12.11% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $5.03 billion, indicating a 10.05% increase compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $8.22 per share and revenue of $20.09 billion. These totals would mark changes of +7.59% and +11%, respectively, from last year.
Any recent changes to analyst estimates for Baidu Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Currently, Baidu Inc. is carrying a Zacks Rank of #3 (Hold).
Digging into valuation, Baidu Inc. currently has a Forward P/E ratio of 14.3. This indicates a discount in contrast to its industry's Forward P/E of 17.4.
We can additionally observe that BIDU currently boasts a PEG ratio of 1.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Services industry currently had an average PEG ratio of 1.66 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 104, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Baidu Inc. (BIDU - Free Report) .
Baidu Inc. currently has an average brokerage recommendation (ABR) of 1.52, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 21 brokerage firms. An ABR of 1.52 approximates between Strong Buy and Buy.
Of the 21 recommendations that derive the current ABR, 15 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 71.4% and 4.8% of all recommendations.
Brokerage Recommendation Trends for BIDU
Check price target & stock forecast for Baidu Inc. here>>>
While the ABR calls for buying Baidu Inc., it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankAlthough both Zacks Rank and ABR are displayed in a range of 1--5, they are different measures altogether.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Is BIDU a Good Investment?In terms of earnings estimate revisions for Baidu Inc., the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $8.22.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Baidu Inc. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Baidu Inc.
Baidu Inc. (BIDU - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this web search company have returned -11.1%, compared to the Zacks S&P 500 composite's -1.4% change. During this period, the Zacks Internet - Services industry, which Baidu Inc. falls in, has lost 3.9%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Baidu Inc. is expected to post earnings of $2.13 per share for the current quarter, representing a year-over-year change of +12.1%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
The consensus earnings estimate of $8.22 for the current fiscal year indicates a year-over-year change of +7.6%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $10.16 indicates a change of +23.6% from what Baidu Inc. is expected to report a year ago. Over the past month, the estimate has remained unchanged.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Baidu Inc. is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Baidu Inc., the consensus sales estimate for the current quarter of $5.03 billion indicates a year-over-year change of +10.1%. For the current and next fiscal years, $20.09 billion and $22.4 billion estimates indicate +11% and +11.5% changes, respectively.
Last Reported Results and Surprise HistoryBaidu Inc. reported revenues of $4.65 billion in the last reported quarter, representing a year-over-year change of +4%. EPS of $1.75 for the same period compares with $2.55 a year ago.
Compared to the Zacks Consensus Estimate of $4.66 billion, the reported revenues represent a surprise of -0.28%. The EPS surprise was -6.42%.
Over the last four quarters, Baidu Inc. surpassed consensus EPS estimates three times. The company topped consensus revenue estimates just once over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Baidu Inc. is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Baidu Inc.. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
, /PRNewswire/ -- Baidu, Inc. ("Baidu" or the "Company") (Nasdaq: BIDU; HKEX: 9888 (HKD Counter) and 89888 (RMB Counter)), a leading AI company with strong Internet foundation, today announced that the record date for the purpose of determining the eligibility of the holders of its ordinary shares, par value US$0.000000625 per share (the "Ordinary Shares"), to vote and attend its forthcoming extraordinary general meeting of shareholders (the "General Meeting") will be as of close of business on Friday, July 17, 2026, Beijing/Hong Kong time (the "Ordinary Shares Record Date"). In order to be eligible to vote and attend the General Meeting, all valid documents for the transfers of shares accompanied by the relevant share certificates must be lodged with the Company's Hong Kong branch share registrar and transfer office, Computershare Hong Kong Investor Services Limited, Shops 1712–1716, 17th Floor, Hopewell Centre, 183 Queen's Road East, Hong Kong, not later than 4:30 p.m. on Friday, July 17, 2026, Beijing/Hong Kong time. All persons who are registered holders of the Ordinary Shares on the Ordinary Shares Record Date will be entitled to vote and attend the General Meeting.
Holders of the Company's American depositary shares (the "ADSs") representing the Ordinary Shares may not attend or vote at the General Meeting. Holders of ADSs as of close of business on Friday, July 17, 2026, New York time (the "ADSs Record Date"), will be able to instruct The Bank of New York Mellon, the holder of record of Ordinary Shares represented by ADSs, as to how to vote the Ordinary Shares represented by such ADSs. The Bank of New York Mellon, as depositary of the ADSs, will endeavor, to the extent practicable and legally permissible, to vote or cause to be voted at the General Meeting the amount of Ordinary Shares represented by the ADSs in accordance with the instructions that it has properly received from ADS holders. Please be aware that, because of the time difference between Hong Kong and New York, if a holder of ADSs cancels his or her ADSs in exchange for Ordinary Shares on Friday, July 17, 2026, New York time, such holder of ADSs will not be able to instruct The Bank of New York Mellon, as depositary of the ADSs, as to how to vote the Ordinary Shares represented by the cancelled ADSs as described above, and will also not be a holder of those Ordinary Shares as of the Ordinary Shares Record Date for the purpose of determining the eligibility to attend and vote at the General Meeting.
Details including the date and location of the General Meeting will be set out in the Company's notice of General Meeting to be issued and provided to holders of its Ordinary Shares as of the Ordinary Shares Record Date and holders of its ADSs as of the ADSs Record Date together with the proxy materials in due course.
About Baidu
Founded in 2000, Baidu's mission is to make the complicated world simpler through technology. Baidu is a leading AI company with strong Internet foundation, trading on Nasdaq under "BIDU" and HKEX under "9888". One Baidu ADS represents eight Class A ordinary shares.
Baidu is rated a Strong Buy, driven by robust financials and an advancing pivot toward AI infrastructure and autonomous technologies. AI Cloud revenue surged 79% YoY, now comprising 52% of general business revenue, offsetting the 29% YoY decline in legacy search. BIDU's $40.44B equity, $27.55B expanded liquidity, and $5B buyback program support aggressive AI investments and shareholder returns.
On June 29, 2026, Baidu Inc (BIDU) shares rose 7.6% to a current price of $112.18. This price movement comes amidst a challenging year, with shares down 14.1% y
Baidu (BIDU) shares rose about 7% in Hong Kong on Monday after a report said its AI chip unit Kunlunxin is targeting a Hong Kong IPO at a valuation of about $50
Hong Kong-listed shares of Baidu climbed more than 7% on Monday after reports suggested that its artificial intelligence (AI) chip unit, Kunlunxin, is preparing for an initial public offering (IPO) in the city.
According to the report, the planned listing could value the AI chip affiliate at approximately $50 billion.
The rally came after The Information reported on Sunday, citing two people familiar with the matter, that prospective investors had been asked to purchase semiconductors worth three to seven times the value of their intended investment in Kunlunxin's planned IPO.
The report also said Baidu had confidentially submitted a listing application for Kunlunxin to the Hong Kong Stock Exchange at the beginning of the year.
However, details of the offering, including its size and structure, had not been finalised at that stage.
Founded in 2011, Kunlunxin primarily supplies AI chips to its parent company, Baidu.
Although Baidu continues to hold a controlling stake in the business, Kunlunxin operates independently.
Over the past two years, the company has expanded its focus beyond serving Baidu and has increased sales to external customers.
The reported IPO plans come as China intensifies efforts to strengthen its position in the increasingly competitive global AI industry.
According to a report by Brussels-based economic think tank Bruegel, "Despite Chinese progress, the United States remains for now ahead in the race for dominance over the so-called artificial intelligence hardware stack, the resources and equipment, especially semiconductors, needed to run AI models."
At the same time, the think tank noted that "the signs of Chinese catch-up are real," pointing to factors including an open-sourced toolkit supported by a state-backed contributor pipeline and a sufficiently large domestic market capable of supporting the AI ecosystem during its early stages.
The broader technology IPO market in China has also shown signs of recovery as authorities increase support for semiconductor and AI-related listings.
The renewed momentum reflects the country's continued focus on technological self-reliance amid its ongoing competition with the United States.
According to LSEG data, technology companies raised a combined $3.1 billion through stock market listings in China between January and June 18.
The amount is more than five times higher than the capital raised during the corresponding period a year earlier, indicating a significant rebound in investor activity.
The IPO pipeline also continues to expand.
Reuters calculations, based on regulatory filings, showed that nearly 50 companies have submitted IPO applications across the Shanghai and Shenzhen stock exchanges.
The applicants include semiconductor companies and robotics start-ups. Together, they are seeking to raise at least 126.1 billion yuan ($18.7 billion).
Among the largest planned offerings is memory-chip manufacturer ChangXin Memory Technologies, which is preparing a 29.5 billion yuan IPO in Shanghai.
The proposed offering would become the largest domestic listing in China this year.
It would also lift total domestic IPO proceeds to their highest level in three years if completed.
The reported Kunlunxin listing, if it moves forward, would add further momentum to China's recovering technology capital markets while underscoring growing investor interest in AI and semiconductor businesses.
Hong Kong-listed shares of Baidu surged more than 7% Monday on reports that its artificial intelligence chip unit Kunlunxin is targeting an initial public offering in the city, which could value its affiliate at $50 billion.
Prospective investors were asked to buy semiconductors worth three to seven times the value of their intended investment in Kunlunxin's planned listing, The Information reported Sunday, citing two sources familiar with the matter.
Baidu confidentially filed a listing application for Kunlunxin on the Hong Kong Stock Exchange at the start of the year, though offering details, including size and structure, were undecided then.
Kunlunxin chips have drawn interest from ByteDance, the owner of TikTok, according to an earlier Reuters report citing sources.
Founded in 2011, Kunlunxin mainly supplies chips to its parent company Baidu. While Baidu retains a controlling stake, the company operates independently and has broadened its scope to external sales over the past two years.
The report comes as China accelerates efforts to strengthen its position in the increasingly competitive AI sector.
"Despite Chinese progress, the United States remains for now ahead in the race for dominance over the so-called artificial intelligence hardware stack – the resources and equipment, especially semiconductors, needed to run AI models," according to a report by Brussels-based economic think tank Bruegel.
However, the think tank also noted that "the signs of Chinese catch-up are real," citing factors such as an open-sourced toolkit with a state-backed contributor pipeline and a large enough domestic market that could buoy the ecosystem through its immature phase.
Baidu's chip unit, Kunlunxin is planning to go public in Hong Kong at a target valuation of $50 billion, The Information reported on Sunday, citing two sources.
Baidu Inc. (BIDU - Free Report) ended the recent trading session at $103.99, demonstrating a -3.55% change from the preceding day's closing price. The stock's change was less than the S&P 500's daily loss of 0.01%. On the other hand, the Dow registered a gain of 0.14%, and the technology-centric Nasdaq decreased by 0.46%.
Coming into today, shares of the web search company had lost 17% in the past month. In that same time, the Computer and Technology sector lost 2.57%, while the S&P 500 lost 1.4%.
The investment community will be paying close attention to the earnings performance of Baidu Inc. in its upcoming release. The company is predicted to post an EPS of $2.13, indicating a 12.11% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $5.03 billion, indicating a 10.05% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $8.22 per share and a revenue of $20.09 billion, demonstrating changes of +7.59% and +11%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Baidu Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. At present, Baidu Inc. boasts a Zacks Rank of #3 (Hold).
Looking at valuation, Baidu Inc. is presently trading at a Forward P/E ratio of 13.12. For comparison, its industry has an average Forward P/E of 14.42, which means Baidu Inc. is trading at a discount to the group.
We can additionally observe that BIDU currently boasts a PEG ratio of 1.52. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. BIDU's industry had an average PEG ratio of 1.52 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 167, this industry ranks in the bottom 32% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Alibaba Group Holding (BABA) fell to a 16-month low in Hong Kong on Thursday after Anthropic accused the Chinese company of improperly accessing its Claude AI m
Baidu Inc. (BIDU - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this web search company have returned -17.5% over the past month versus the Zacks S&P 500 composite's +0.3% change. The Zacks Internet - Services industry, to which Baidu Inc. belongs, has lost 7.9% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Baidu Inc. is expected to post earnings of $2.13 per share for the current quarter, representing a year-over-year change of +12.1%. Over the last 30 days, the Zacks Consensus Estimate has changed -5.9%.
For the current fiscal year, the consensus earnings estimate of $8.03 points to a change of +5.1% from the prior year. Over the last 30 days, this estimate has changed -1.3%.
For the next fiscal year, the consensus earnings estimate of $10.13 indicates a change of +26.2% from what Baidu Inc. is expected to report a year ago. Over the past month, the estimate has changed +0.2%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Baidu Inc..
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Baidu Inc., the consensus sales estimate for the current quarter of $5.03 billion indicates a year-over-year change of +10.1%. For the current and next fiscal years, $20.09 billion and $22.4 billion estimates indicate +11% and +11.5% changes, respectively.
Last Reported Results and Surprise HistoryBaidu Inc. reported revenues of $4.65 billion in the last reported quarter, representing a year-over-year change of +4%. EPS of $1.75 for the same period compares with $2.55 a year ago.
Compared to the Zacks Consensus Estimate of $4.66 billion, the reported revenues represent a surprise of -0.28%. The EPS surprise was -6.42%.
Over the last four quarters, Baidu Inc. surpassed consensus EPS estimates three times. The company topped consensus revenue estimates just once over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Baidu Inc. is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Baidu Inc.. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Baidu Inc. (BIDU - Free Report) .
Baidu Inc. currently has an average brokerage recommendation (ABR) of 1.52, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 21 brokerage firms. An ABR of 1.52 approximates between Strong Buy and Buy.
Of the 21 recommendations that derive the current ABR, 15 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 71.4% and 4.8% of all recommendations.
Brokerage Recommendation Trends for BIDU
Check price target & stock forecast for Baidu Inc. here>>>
While the ABR calls for buying Baidu Inc., it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Should You Invest in BIDU?Looking at the earnings estimate revisions for Baidu Inc., the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $8.03.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Baidu Inc. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Baidu Inc.
ByteDance, the parent company of TikTok, is reportedly in talks with Iluvatar CoreX and Baidu Inc. (NASDAQ:BIDU) to acquire AI chips.
Iluvatar CoreX is projected to deliver at least 50,000 chips to ByteDance this year, primarily for AI inference tasks, as the company broadens the user base of its Doubao chatbot.
If the deal goes through, Iluvatar CoreX would become ByteDance’s third major domestic GPU supplier, following Huawei and Cambricon, according to a Reuters report on Monday.
ByteDance did not immediately respond to Benzinga’s request for comments.
Nvidia Adapts To China CurbsThis development comes after a report in March suggested that ByteDance planned a major AI infrastructure expansion in Malaysia, underscoring how Chinese tech firms are building computing capacity overseas amid U.S. export restrictions.
The project reportedly involved deploying around 36,000 of Nvidia Corp.‘s (NASDAQ:NVDA) B200 AI chips through cloud provider Aolani Cloud, with hardware costs potentially exceeding $2.5 billion.
However, amid Beijing’s push, Chinese GPU and AI chip manufacturers claimed nearly 41% of the domestic AI accelerator server market last year, challenging NVIDIA’s long-held dominance in a market that once generated over 20% of its data center revenue.
Meanwhile, according to a Reuters report on Friday, NVIDIA has started marketing its new Vera AI data-center CPU to Chinese customers, with orders now open and availability expected as early as August. The chip is Nvidia’s first standalone CPU designed specifically for agentic AI workloads.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock
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Susquehanna raised its price target on Baidu (NASDAQ:BIDU | BIDU Price Prediction) to $140 from $120 while maintaining a Neutral rating, a price target raise that captures both the bull case and the open questions surrounding the Chinese search and AI giant.
Baidu, Inc. is at an AI inflection point, with surging AI Cloud and GPU Cloud growth now eclipsing legacy online marketing revenues. BIDU's AI-powered business grew 49% YoY, while legacy marketing revenues fell 22%, masking AI topline momentum. Kunlunxin, Baidu's AI chip unit, targets a $15 billion IPO, potentially matching BIDU's entire enterprise value and underscoring deep undervaluation.
Zacks.com users have recently been watching Baidu Inc. (BIDU) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
Baidu Inc.'s (NASDAQ:BIDU) (9888.HK) revenue from its general business grew 2% year-on-year to 26 billion yuan ($3.82 billion) in the first quarter, as its core AI-driven business accounted for more than half of the total for the first time, according to its results released on May 18. AI-related revenue rose 49% during the quarter to 13.6 billion yuan, making up 52% of total general business revenue.
Baidu (BIDU) is transitioning from a legacy search engine to an AI-driven platform, with AI now comprising 52% of General Business revenue. AI Cloud Infrastructure revenue surged 79% y/y, GPU Cloud 184%, and Apollo Go autonomous rides grew 120%, signaling robust AI adoption. Despite negative free cash flow and margin pressure from heavy AI investment, BIDU maintains a strong balance sheet and announced its first dividend and a $5B buyback.
On June 02, 2026, Baidu Inc (BIDU) shares rose 3.3% to a current price of $136.72. Over the past year, the stock has shown impressive growth, appreciating by 64
Baidu expects to list its chip unit in Hong Kong this year, and for artificial-intelligence income.to support healthy revenue growth over the next few quarters.
Cathie Wood's Ark Invest bought shares of Alphabet, Meta Platforms, and Alibaba Group on Wednesday. Alphabet stock has more than doubled over the past year, as its emerging as a AI play on the hardware and software ends of the market.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
The Pentagon added a slew of Chinese tech firms, including Alibaba and Baidu, to a list of entities it believes to have aided Chinese military. The Defense Department will be prohibited from contracting directly with listed companies starting later this month.
BEIJING, June 9, 2026 /PRNewswire/ -- Baidu, Inc. (NASDAQ: BIDU and HKEX: 9888 (HKD Counter) and 89888 (RMB Counter)), ("Baidu" or the "Company"), a leading AI company with strong Internet foundation, today became aware that the U.S. Department of Defense has published a Notice, Designation of Chinese Military Companies, and pursuant to the Notice, the Deputy Secretary of Defense has included the Company on the Department of Defense's list of Chinese Military Companies (the "CMC List"). As the Company is neither a Chinese military company nor a military-civil fusion contributor to the Chinese defense industrial base, the Company believes that there is no justification for the Company's inclusion on such list.
Baidu stock price has slumped hard in the past few months as its advertising business has come under intense pressure. It retreated to H$112.3 in Hong Kong, reaching its lowest point since April 14.
AmiGo, an on-demand autonomous mobility service between Baidu's Apollo Go and Swiss Post's PostBus, has received a special permit from Switzerland's Federal Roads Office (FEDRO) for Level 4 autonomous operations in Eastern Switzerland, confirming the service meets Switzerland's rigorous safety and quality requirements. Open-road autonomous driving trials began on June 1, 2026, across an approximately 80 km² service area in the cantons of St. Gallen, Appenzell Ausserrhoden, and Appenzell Innerrhoden.
A logo of Baidu at an exhibition center during organized media tour in Hohhot, Inner Mongolia Autonomous Region, China, June 11, 2026. REUTERS/Maxim Shemetov Purchase Licensing Rights, opens new tab
CompaniesJune 12 (Reuters) - Baidu (9888.HK), opens new tab said on Friday its autonomous vehicle service AmiGo, developed in partnership with Switzerland's public bus operator PostBus, received a regulatory approval for operations in the eastern region of the European country.
Here are the details:
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Baidu aims to launch regular fully driverless operations of the joint service by early 2027, provided all safety and regulatory requirements are met.
The company said the service is set to be Europe's largest automated public transport operation of its kind.
The service will use Apollo Go's fully electric RT6 vehicles, each capable of carrying three passengers and equipped with over 30 sensors, the company said.
Baidu said AmiGo's services will be bookable through a dedicated app.
Level 4 autonomous driving is a level of automation where the vehicle can operate without a human driver under specific conditions.
Baidu had announced a partnership with PostBus last year, as the Chinese tech firm accelerates a global push of its self-driving business.
China's leading search engine operator, Baidu, has been increasing its focus on technologies including AI and self-driving as its advertising-driven search engine business has slowed due to a weakening Chinese economy.
Reporting by Jaspreet Singh in Bengaluru; Editing by Sahal Muhammed
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