- BIDU stock is trading at a PE ratio (forward) of 17.1 times, a massive compression in valuation multiples from the highs (above 40 times) established in February 2021.
- BIDU has an analyst rating score of 4.50, below what U.S. tech giants GOOG and AMZN (4.73 and 4.63 respectively) received, but higher than FB’s 4.33 and NFLX’s 3.45.
- Baidu’s quant rating is less optimistic at ‘Hold’. Nevertheless, the Factor Grades have indicated improvements in valuation and revisions.
- Market players went wild last Friday, excited about the prospect that Beijing has reversed its strong stance on “fixing” the internet sector and is ready to do whatever it takes to boost the economy.
- The broader stock market is looking weak and the adage “sell in May and go away” could dampen investor sentiment. Otherwise, Baidu stock is a good buy now, with the Apollo Go division potentially on the cusp of significant revenue contribution.
For further details see:
Is Baidu Stock A Good Buy Now? Watch The Apollo Go Unit