Baidu Inc. [NASDAQ: BIDU] loss -11.10% on the last trading session, reaching $232.68 price per share at the time. The company report on March 1, 2021 that Baidu and Huaneng Collaborate to Create an Intelligent Energy Future.
Baidu (NASDAQ: BIDU) and China Huaneng Group Co., Ltd. recently signed a memorandum of understanding (MoU) aimed at driving the intelligent transformation of the energy industry. As a leading AI company with a strong Internet foundation, Baidu will leverage its capabilities in AI-powered new infrastructure to help Huaneng closely integrate the digital economy with the energy and power industry, which will enhance efficiencies and users’ experience.
Under the terms of the MoU, Baidu and Huaneng will pursue a multi-faceted partnership encompassing information technology, digital technology, and other related areas. The two companies will jointly develop a new generation automated and intelligent financial shared services platform, as well as cooperate to apply AI and big data technologies to the energy and power field. Additionally, the partnership will strive to provide society with energy-related data services that are more digitized, intelligent, and connected to the Internet, which will drive the intelligent upgrading of China’s energy industry.
Baidu Inc. represents 339.60 million in outstanding shares, while the company has a total market value of $79.02 billion with the latest information. BIDU stock price has been found in the range of $226.78 to $256.04.
If compared to the average trading volume of 10.97M shares, BIDU reached a trading volume of 11354619 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about 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 $352.10 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 1.90. 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 24.03, with the Price to Sales ratio for BIDU stock in the period of the last 12 months amounting to 4.77. The Price to Book ratio for the last quarter was 0.03, with the Price to Cash per share for the same quarter was set at 73.82.
Trading performance analysis for BIDU stock
Baidu Inc. [BIDU] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -21.28. With this latest performance, BIDU shares dropped by -9.96% in over the last four-week period, additionally plugging by 91.63% over the last 6 months – not to mention a rise of 104.57% 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 36.63, with the RSI for the last a single of trading hit 28.39, and the three-weeks RSI is set at 42.22 for Baidu Inc. [BIDU]. The present Moving Average for the last 50 days of trading for this stock 258.50, while it was recorded at 266.94 for the last single week of trading, and 161.93 for the last 200 days.
Baidu Inc. [BIDU]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Baidu Inc. [BIDU] shares currently have an operating margin of +13.39 and a Gross Margin at +48.49. Baidu Inc.’s Net Margin is presently recorded at +20.99.
Return on Total Capital for BIDU is now 5.33, given the latest momentum, and Return on Invested Capital for the company is 9.19. Return on Equity for this stock inclined to 12.66, with Return on Assets sitting at 6.92. When it comes to the capital structure of this company, Baidu Inc. [BIDU] has a Total Debt to Total Equity ratio set at 45.21. Additionally, BIDU Total Debt to Total Capital is recorded at 31.13, with Total Debt to Total Assets ending up at 24.82. Long-Term Debt to Equity for the company is recorded at 35.59, with the Long-Term Debt to Total Capital now at 24.51.
Receivables Turnover for the company is 10.06 with a Total Asset Turnover recorded at a value of 0.33.Baidu Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 2.70 and a Current Ratio set at 2.70.
Baidu Inc. [BIDU]: An earnings per share (EPS) analysis
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 2.58%.
An analysis of insider ownership at Baidu Inc. [BIDU]
There are presently around $43,511 million, or 71.30% 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 $2.21 billion in BIDU stocks shares; and VANGUARD GROUP INC, currently with $2.21 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 417 institutional holders increased their position in Baidu Inc. [NASDAQ:BIDU] by around 34,190,662 shares. Additionally, 280 investors decreased positions by around 24,331,627 shares, while 109 investors held positions by with 128,478,919 shares. The mentioned changes placed institutional holdings at 187,001,208 shares, according to the latest SEC report filing. BIDU stock had 198 new institutional investments in for a total of 8,163,542 shares, while 72 institutional investors sold positions of 7,495,067 shares during the same period.