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Baidu Inc. (BIDU) Dips More Than Broader Markets: What You Should Know
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Baidu Inc. (BIDU - Free Report) closed the most recent trading day at $136.40, moving -1.03% from the previous trading session. This change lagged the S&P 500's daily loss of 0.12%. Elsewhere, the Dow gained 0.09%, while the tech-heavy Nasdaq added 0.4%.
Heading into today, shares of the web search company had lost 9.57% over the past month, lagging the Computer and Technology sector's gain of 10.34% and the S&P 500's gain of 8.25% in that time.
Investors will be hoping for strength from Baidu Inc. as it approaches its next earnings release, which is expected to be August 30, 2022. The company is expected to report EPS of $1.63, down 31.8% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.12 billion, down 15.2% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.88 per share and revenue of $19.67 billion, which would represent changes of -6.19% and +1.93%, respectively, from the prior year.
Any recent changes to analyst estimates for Baidu Inc. should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 10.55% lower within the past month. Baidu Inc. is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Baidu Inc. is holding a Forward P/E ratio of 17.49. This represents a discount compared to its industry's average Forward P/E of 22.
Meanwhile, BIDU's PEG ratio is currently 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 2.06 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 146, putting it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Baidu Inc. (BIDU) Dips More Than Broader Markets: What You Should Know
Baidu Inc. (BIDU - Free Report) closed the most recent trading day at $136.40, moving -1.03% from the previous trading session. This change lagged the S&P 500's daily loss of 0.12%. Elsewhere, the Dow gained 0.09%, while the tech-heavy Nasdaq added 0.4%.
Heading into today, shares of the web search company had lost 9.57% over the past month, lagging the Computer and Technology sector's gain of 10.34% and the S&P 500's gain of 8.25% in that time.
Investors will be hoping for strength from Baidu Inc. as it approaches its next earnings release, which is expected to be August 30, 2022. The company is expected to report EPS of $1.63, down 31.8% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.12 billion, down 15.2% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.88 per share and revenue of $19.67 billion, which would represent changes of -6.19% and +1.93%, respectively, from the prior year.
Any recent changes to analyst estimates for Baidu Inc. should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 10.55% lower within the past month. Baidu Inc. is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Baidu Inc. is holding a Forward P/E ratio of 17.49. This represents a discount compared to its industry's average Forward P/E of 22.
Meanwhile, BIDU's PEG ratio is currently 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services was holding an average PEG ratio of 2.06 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 146, putting it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.