Don't Buy Baidu Before Checking Its Fundamentals!

Baidu sank -1.3% this evening, compared to the S&P 500's day change of -0.0%. Today's losers may turn out to be tomorrow's winners, so be sure to check the stock's fundamentals before making an investment decision:

  • BIDU has an average analyst rating of buy and is -31.83% away from its mean target price of $173.15 per share

  • Its trailing earnings per share (EPS) is $6.01, which brings its trailing Price to Earnings (P/E) ratio to 19.6. The Technology sector's average P/E ratio is 27.16

  • The company's forward earnings per share (EPS) is $10.96 and its forward P/E ratio is 10.8

  • The company has a Price to Book (P/B) ratio of 0.17 in contrast to the Technology sector's average P/B ratio is 6.23

  • The company's free cash flow for the last fiscal year was $2.59 Billion and the average free cash flow growth rate is -6.8%

  • Baidu's revenues have an average growth rate of 3.2% with operating expenses growing at None%. The company's current operating margins stand at 12.9%

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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