CMB International Securities Maintains Buy Rating on Baidu (BIDU) Stock

Baidu, Inc. (NASDAQ:BIDU) is one of the Most Promising AI Stocks to Buy Right Now. On October 15, Saiyi He from CMB International Securities maintained a “Buy” rating on the company’s stock, with a price objective of $148.40. The analyst’s rating is backed by a combination of factors demonstrating Baidu, Inc. (NASDAQ:BIDU)’s growth potential and value enhancement. The analyst expects that the company’s core business revenue is expected to decline because of ongoing transformations in the advertising sector.

That being said, this is projected to be counterbalanced by a healthy growth in cloud services, thanks to the increased demand related to AI technologies. Furthermore, the analyst pointed out that while the recovery in core advertising could take some time, new growth drivers like agent-related ads and digital human formats have been emerging. Such innovations are expected to help Baidu, Inc. (NASDAQ:BIDU)’s revenue. Furthermore, Baidu, Inc. (NASDAQ:BIDU)’s significant cash reserves and potential optimization in cash usage have been considered as factors that can support its valuation. As of June 30, 2025, the company’s cash, cash equivalents, restricted cash, and short-term investments came in at RMB124.2 billion ($17.34 billion).

While we acknowledge the potential of BIDU as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.