Baidu Inc. [NASDAQ: BIDU] stock went on a downward path that fall over -5.37% on Wednesday, amounting to a one-week price increase of more than 4.62%. The company report on February 18, 2021 that Baidu Announces Fourth Quarter and Fiscal Year 2020 Results.
Baidu, Inc. (NASDAQ: BIDU) (“Baidu” or the “Company”), a leading AI company with strong Internet foundation, announced unaudited financial results for the fourth quarter and fiscal year ended December 31, 2020.
“Baidu ended 2020 on a solid note with our business benefiting from improving macroeconomic environment and the digitalization of industrial Internet. Our focus on innovation through technology is paying off with Baidu Core non-marketing revenue growing 52% year over year in the fourth quarter,” said Robin Li, Co-founder and CEO of Baidu. “As we enter 2021, Baidu is well positioned as a leading AI company with strong Internet foundation to seize the huge market opportunities in cloud services, autonomous driving, smart transportation, and other AI opportunities. We also hope to capitalize on our huge Internet reach with more non-marketing services.”.
Over the last 12 months, BIDU stock rose by 130.05%. The one-year Baidu Inc. stock forecast points to a potential downside of -29.25. The average equity rating for BIDU stock is currently 2.00, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $104.14 billion, with 339.83 million shares outstanding and 266.87 million shares in the current float. Compared to the average trading volume of 8.85M shares, BIDU stock reached a trading volume of 8282561 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Baidu Inc. [BIDU]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for BIDU shares is $238.83 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on BIDU stock is a recommendation set at 2.00. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
China Renaissance have made an estimate for Baidu Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on February 09, 2021. While these analysts kept the previous recommendation, Mizuho raised their target price from $250 to $325. The new note on the price target was released on February 08, 2021, representing the official price target for Baidu Inc. stock. Previously, the target price had yet another raise from $165 to $305, while Oppenheimer kept a Outperform rating on BIDU stock. On January 19, 2021, analysts increased their price target for BIDU shares from 183 to 292.
The Average True Range (ATR) for Baidu Inc. is set at 16.49, with the Price to Sales ratio for BIDU stock in the period of the last 12 months amounting to 6.36. The Price to Book ratio for the last quarter was 3.84, with the Price to Cash per share for the same quarter was set at 66.73.
BIDU Stock Performance Analysis:
Baidu Inc. [BIDU] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 4.62. With this latest performance, BIDU shares gained by 29.23% in over the last four-week period, additionally plugging by 149.10% over the last 6 months – not to mention a rise of 130.05% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for BIDU stock in for the last two-week period is set at 69.38, with the RSI for the last a single of trading hit 68.68, and the three-weeks RSI is set at 69.50 for Baidu Inc. [BIDU]. The present Moving Average for the last 50 days of trading for this stock 226.55, while it was recorded at 312.30 for the last single week of trading, and 149.39 for the last 200 days.
Insight into Baidu Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Baidu Inc. [BIDU] shares currently have an operating margin of +5.87 and a Gross Margin at +41.49. Baidu Inc.’s Net Margin is presently recorded at +1.84.
Return on Total Capital for BIDU is now 2.57, given the latest momentum, and Return on Invested Capital for the company is 0.89. Return on Equity for this stock inclined to 1.21, with Return on Assets sitting at 0.66. When it comes to the capital structure of this company, Baidu Inc. [BIDU] has a Total Debt to Total Equity ratio set at 47.93. Additionally, BIDU Total Debt to Total Capital is recorded at 32.40, with Total Debt to Total Assets ending up at 26.02. Long-Term Debt to Equity for the company is recorded at 40.41, with the Long-Term Debt to Total Capital now at 27.32.
Reflecting on the efficiency of the workforce at the company, Baidu Inc. [BIDU] managed to generate an average of $7,585 per employee. Receivables Turnover for the company is 10.46 with a Total Asset Turnover recorded at a value of 0.36.Baidu Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 2.60 and a Current Ratio set at 2.60.
BIDU Stock EPS
With the latest financial reports released by the company, Baidu Inc. posted 1.26/share EPS, while the average EPS was predicted by analysts to be reported at 0.57/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 121.10%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for BIDU. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Baidu Inc. go to 1.30%.
Baidu Inc. [BIDU] Insider Position Details
There are presently around $58,552 million, or 66.90% of BIDU stock, in the hands of institutional investors. The top three institutional holders of BIDU stocks are: BLACKROCK INC. with ownership of 12,749,733, which is approximately 1.645% of the company’s market cap and around 15.60% of the total institutional ownership; PRIMECAP MANAGEMENT CO/CA/, holding 9,512,376 shares of the stock with an approximate value of $2.94 billion in BIDU stocks shares; and VANGUARD GROUP INC, currently with $2.93 billion in BIDU stock with ownership of nearly -1.114% of the company’s market capitalization.
Positions in Baidu Inc. stocks held by institutional investors increased at the end of February and at the time of the February reporting period, where 409 institutional holders increased their position in Baidu Inc. [NASDAQ:BIDU] by around 40,924,436 shares. Additionally, 276 investors decreased positions by around 24,901,738 shares, while 111 investors held positions by with 123,859,113 shares. The mentioned changes placed institutional holdings at 189,685,287 shares, according to the latest SEC report filing. BIDU stock had 191 new institutional investments in for a total of 8,034,118 shares, while 72 institutional investors sold positions of 8,063,093 shares during the same period.