Baidu Inc. (BIDU) reached a significant support level, and could be a good pick for investors from a technical perspective. Recently, BIDU broke through the 50-day moving average, which suggests a short-term bullish trend.
The 50-day simple moving average is a widely used technical indicator that helps determine support or resistance levels for different types of securities. It's one of three major moving averages, but takes precedent because it's the first sign of an up or down trend.
BIDU has rallied 9.1% over the past four weeks, and the company is a Zacks Rank #2 (Buy) at the moment. This combination suggests BIDU could be on the verge of another move higher.
Looking at BIDU's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 2 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.
Given this move in earnings estimate revisions and the positive technical factor, investors may want to keep their eye on BIDU for more gains in the near future.
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Baidu, Inc. (BIDU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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