- Baidu‘s 4Q revenue met estimates, totalling 34.95 billion yuan against an estimated 35 billion yuan.
- The revenue from Baidu Core was 27.49 billion yuan, slightly more than the estimated 27.31 billion yuan.
- Revenue from iQIYI, Baidu‘s online video platform, was 7.7 billion yuan, a little less than the estimated 7.86 billion yuan.
- The adjusted profit per American depositary receipts was 21.86 yuan, significantly more than the estimated 17.86 yuan.
- Baidu‘s adjusted operating profit was 7.08 billion yuan, beating the estimated 6.71 billion yuan.
- The adjusted Ebitda was 9.06 billion yuan, higher than the estimated 8.02 billion yuan.
- The number of monthly active users was 667 million, surpassing the estimated 658.74 million users.
- Baidu Core’s adjusted operating profit was 6.20 billion yuan, more than the estimated 5.98 billion yuan.
- Out of 43 analysts, 38 recommended to buy Baidu‘s stocks, 5 held neutral positions, and none recommended selling.
Baidu on Smartkarma
Analysts on Smartkarma are bullish on Baidu, Inc. (BIDU US), a leading Chinese technology company, as they publish their research on the company’s performance. In a recent report by Ying Pan, Baidu‘s Q4 earnings were in line with expectations, but there was a slight bottom-line miss due to increased marketing costs. However, Baidu‘s cloud revenue remains strong thanks to their AI products, leading to a target price of $146. Another report by Baptista Research highlights Baidu‘s game-changing strategy with their AI products, which played a pivotal role in exceeding analyst expectations and achieving solid revenue, profit, and cash flow.
In another report by Ying Pan, Baidu‘s financial results met expectations, with potential for advertising growth to support their long-term business. The analyst maintains a BUY rating and adjusted price target of $157, implying a 14.6x PE. Meanwhile, Baptista Research‘s report focuses on Baidu‘s progress and expansion, with a particular emphasis on their foundation models ERNIE and ERNIE bot. These models have resulted in enhancements in products like Baidu Search and Baidu Wenku, leading to increased user engagement and conversion rates. Baidu‘s online marketing division has also utilized generative AI to drive growth in online marketing revenue.
A look at Baidu Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 5 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
According to the Smartkarma Smart Scores, Baidu, Inc. has a positive long-term outlook. This is indicated by its overall score of 3 out of 5, with high scores in Value, Resilience, and Growth. Baidu, Inc. is a company that operates an Internet search engine and provides various services such as algorithmic search, news, and online storage. This company has a strong value, with a score of 4, meaning that it is a good investment opportunity. Additionally, Baidu has a high score of 5 in Resilience, indicating that it has the ability to withstand market fluctuations and challenges. With a score of 3 in Growth, Baidu is expected to continue expanding and improving its services.
While Baidu scores well in Value, Resilience, and Growth, it has a lower score of 1 in Dividend and 3 in Momentum. This suggests that the company may not be the best option for those seeking immediate returns or quick market gains. However, for long-term investors, Baidu‘s high scores in other areas make it a promising investment. Overall, Baidu, Inc. is a global company that provides various Internet services and has a positive outlook for the future, according to the Smartkarma Smart Scores.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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