Baidu Inc. (BIDU) ended the recent trading session at $90.83, demonstrating a +1.49% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 0.74%. At the same time, the Dow added 0.05%, and the tech-heavy Nasdaq gained 1.26%.
The the stock of web search company has fallen by 9.06% in the past month, lagging the Computer and Technology sector's loss of 6.23% and the S&P 500's loss of 4.77%.
Investors will be eagerly watching for the performance of Baidu Inc. in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 21, 2025. The company's upcoming EPS is projected at $1.96, signifying a 28.99% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $4.3 billion, down 1.56% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $10.08 per share and revenue of $18.8 billion, indicating changes of -4.27% and +1.65%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Baidu Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 moved 0.06% higher. At present, Baidu Inc. boasts a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Baidu Inc. has a Forward P/E ratio of 8.88 right now. This represents a discount compared to its industry's average Forward P/E of 18.61.
Also, we should mention that BIDU has a PEG ratio of 2.12. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Internet - Services industry had an average PEG ratio of 1.3 as trading concluded yesterday.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 178, putting it in the bottom 29% 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.
To follow BIDU in the coming trading sessions, be sure to utilize Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Baidu, Inc. (BIDU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
