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Baidu Inc (BIDU)



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Upturn Advisory Summary
04/01/2025: BIDU (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Analysis of Past Performance
Type Stock | Historic Profit -30.64% | Avg. Invested days 34 | Today’s Advisory WEAK BUY |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Large-Cap Stock | Market Capitalization 31.66B USD | Price to earnings Ratio 10.1 | 1Y Target Price 109.96 |
Price to earnings Ratio 10.1 | 1Y Target Price 109.96 | ||
Volume (30-day avg) 5740217 | Beta 0.47 | 52 Weeks Range 77.19 - 116.25 | Updated Date 04/2/2025 |
52 Weeks Range 77.19 - 116.25 | Updated Date 04/2/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 9.07 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 17.85% | Operating Margin (TTM) 11.76% |
Management Effectiveness
Return on Assets (TTM) 3.2% | Return on Equity (TTM) 8.85% |
Valuation
Trailing PE 10.1 | Forward PE 9.04 | Enterprise Value 24841553480 | Price to Sales(TTM) 0.24 |
Enterprise Value 24841553480 | Price to Sales(TTM) 0.24 | ||
Enterprise Value to Revenue 1.36 | Enterprise Value to EBITDA 3.47 | Shares Outstanding 278228000 | Shares Floating 2203406433 |
Shares Outstanding 278228000 | Shares Floating 2203406433 | ||
Percent Insiders 2.83 | Percent Institutions 27.97 |
Analyst Ratings
Rating 4.2 | Target Price 109.13 | Buy 2 | Strong Buy 21 |
Buy 2 | Strong Buy 21 | ||
Hold 11 | Sell - | Strong Sell 1 | |
Strong Sell 1 |
Upturn AI SWOT
Baidu Inc

Company Overview
History and Background
Baidu Inc., founded in 2000 by Robin Li and Eric Xu, started as a search engine company in China. It has grown to become a leading technology company, expanding into AI, cloud computing, and autonomous driving.
Core Business Areas
- Search and Advertising: Baidu's core business revolves around its search engine, providing search results and advertising opportunities to businesses.
- AI Cloud: Baidu AI Cloud provides cloud computing services, including AI-powered solutions, to enterprises.
- Autonomous Driving (Apollo): Baidu's Apollo program focuses on developing autonomous driving technology and solutions.
- Other Services: Includes Baidu App, Baidu Maps, and other related applications.
Leadership and Structure
Robin Li is the co-founder and CEO of Baidu. The company operates with a typical corporate structure, divided into business units focused on specific areas.
Top Products and Market Share
Key Offerings
- Baidu Search Engine: The dominant search engine in China, with a significant market share. Competitors include Sogou (acquired by Tencent), and Shenma. Market share fluctuates but generally exceeds 70% in China.
- Baidu AI Cloud: A comprehensive cloud computing platform with AI capabilities, competing with Alibaba Cloud (BABA), Tencent Cloud, and AWS. Exact market share varies, but Baidu is a significant player in the Chinese cloud market.
- Apollo (Autonomous Driving): Autonomous driving platform for developing self-driving cars, competing with companies like Waymo (GOOGL), Tesla (TSLA), and others. Revenue is still emerging but considered a significant future growth driver.
- Baidu App: Mobile application integrating search, news feed, and other functionalities. Competitors include Tencent's WeChat and ByteDance's Jinri Toutiao.
Market Dynamics
Industry Overview
The Chinese internet market is highly competitive, characterized by rapid technological advancements and strict government regulations. Key areas include search, e-commerce, cloud computing, and AI.
Positioning
Baidu is positioned as a leading technology company in China, with a strong focus on AI and search. It holds a dominant position in the Chinese search engine market.
Total Addressable Market (TAM)
The TAM across Baidu's various segments (search, AI Cloud, autonomous driving, etc.) is estimated to be in the hundreds of billions of USD. Baidu is well positioned to capture a significant portion of this TAM, particularly in the Chinese market. The AI cloud market is growing rapidly, and Baidu's early investment in AI provides a competitive edge.
Upturn SWOT Analysis
Strengths
- Dominant market share in Chinese search engine market
- Strong AI research and development capabilities
- Significant investment in autonomous driving (Apollo)
- Established brand recognition in China
Weaknesses
- Heavy reliance on the Chinese market
- Slower growth in some core businesses compared to competitors
- Regulatory risks in China
- Dependency on advertising revenue
Opportunities
- Expansion of AI cloud services
- Commercialization of autonomous driving technology
- Growth in the Chinese smart device market
- Further monetization of mobile app user base
Threats
- Increased competition from other Chinese tech giants (Tencent, Alibaba)
- Evolving government regulations in China
- Economic slowdown in China
- Potential for technological disruption
Competitors and Market Share
Key Competitors
- GOOGL
- BABA
- TCEHY
Competitive Landscape
Baidu has a significant advantage in China's search engine market but faces intense competition in cloud computing and other areas. Baiduu2019s AI expertise is a competitive advantage.
Major Acquisitions
u6e21u9e26u79d1u6280 (Raven Tech)
- Year: 2017
- Acquisition Price (USD millions): 90
- Strategic Rationale: To strengthen Baidu's AI capabilities and develop smart home devices.
Growth Trajectory and Initiatives
Historical Growth: Baidu's historical growth has been strong, driven by its search engine dominance and expansion into new areas like AI.
Future Projections: Analysts project continued growth in AI cloud and autonomous driving, but slower growth in the core search business. Revenue and earnings projections would be included here.
Recent Initiatives: Recent initiatives include expanding AI cloud offerings, developing autonomous driving solutions, and investing in AI research.
Summary
Baidu is a dominant player in the Chinese search market and is investing heavily in AI and autonomous driving. While it faces competition and regulatory risks, its strong brand and AI capabilities position it well for future growth. The company needs to navigate the evolving regulatory landscape and successfully monetize its AI investments. Continued growth in AI Cloud is critical to diversify revenue streams.
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Sources and Disclaimers
Data Sources:
- Baidu's Investor Relations
- SEC Filings
- Market Research Reports
- Analyst Estimates
Disclaimers:
This analysis is for informational purposes only and does not constitute financial advice. Market data is subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Baidu Inc
Exchange NASDAQ | Headquaters - | ||
IPO Launch date 2005-08-05 | Co-Founder, Chairman & CEO Mr. Yanhong Li | ||
Sector Communication Services | Industry Internet Content & Information | Full time employees 35900 | Website https://ir.baidu.com |
Full time employees 35900 | Website https://ir.baidu.com |
Baidu, Inc. provides online marketing and non-marketing value added services through an internet platform in the People's Republic of China. It operates in two segments, Baidu Core and iQIYI. The Baidu Core segment offers search-based, feed-based, and other online marketing services; cloud services; and products and other services from AI initiatives. It provides access to search, feed, content and other services with help of mobile devices through Baidu App, which include Baidu Search, Baidu Feed, Baidu Health, ERNIE Bot, Baidu Wiki, Baidu Knows, Baidu Experience, and Baidu Post; Haokan which allows user to upload, view, search, rate, share, favorite, comment, and follow the short videos; AI Building Blocks consists of Baijiahao, Smart Mini Program, Manage Page, and ERNIE Agents; Baidu Union; ai cloud which includes IaaS, PaaS, SaaS, and personal cloud service; and intelligent driving and other growth initiatives Apollo Go, DuerOS, Baidu Maps, and AI chips. The iQIYI segment operates an online entertainment video platform that offers original, professionally produced, and partner-generated content. It offers marketing services through pay for performance, and display-based marketing services and other online marketing services based on performance criteria other than cost per click methods. It serves to SMEs across industries, including healthcare, retail, e-commerce, entertainment and media, online games, business services, life services, real estate, home furnishing, transportation, and education. The company was incorporated in 2000 and is headquartered in Beijing, the People's Republic of China.
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