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Baidu Inc. (BIDU) Gains But Lags Market: What You Should Know
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Baidu Inc. (BIDU - Free Report) closed the most recent trading day at $85.19, moving +0.2% from the previous trading session. This move lagged the S&P 500's daily gain of 0.56%. Elsewhere, the Dow gained 1.02%, while the tech-heavy Nasdaq lost 0.03%.
Coming into today, shares of the web search company had lost 26.1% in the past month. In that same time, the Computer and Technology sector lost 1.71%, while the S&P 500 gained 4.72%.
Investors will be hoping for strength from Baidu Inc. as it approaches its next earnings release. On that day, Baidu Inc. is projected to report earnings of $2.44 per share, which would represent year-over-year growth of 7.02%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.74 billion, down 4.31% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.05 per share and revenue of $18.04 billion, which would represent changes of +7.74% and -6.5%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Baidu Inc.Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.94% lower within the past month. Baidu Inc. is currently a Zacks Rank #4 (Sell).
Investors should also note Baidu Inc.'s current valuation metrics, including its Forward P/E ratio of 9.39. This valuation marks a discount compared to its industry's average Forward P/E of 19.05.
Investors should also note that BIDU has a PEG ratio of 0.45 right now. 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 industry currently had an average PEG ratio of 1.66 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 98, putting it in the top 39% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BIDU in the coming trading sessions, be sure to utilize Zacks.com.
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Baidu Inc. (BIDU) Gains But Lags Market: What You Should Know
Baidu Inc. (BIDU - Free Report) closed the most recent trading day at $85.19, moving +0.2% from the previous trading session. This move lagged the S&P 500's daily gain of 0.56%. Elsewhere, the Dow gained 1.02%, while the tech-heavy Nasdaq lost 0.03%.
Coming into today, shares of the web search company had lost 26.1% in the past month. In that same time, the Computer and Technology sector lost 1.71%, while the S&P 500 gained 4.72%.
Investors will be hoping for strength from Baidu Inc. as it approaches its next earnings release. On that day, Baidu Inc. is projected to report earnings of $2.44 per share, which would represent year-over-year growth of 7.02%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.74 billion, down 4.31% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.05 per share and revenue of $18.04 billion, which would represent changes of +7.74% and -6.5%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Baidu Inc.Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.94% lower within the past month. Baidu Inc. is currently a Zacks Rank #4 (Sell).
Investors should also note Baidu Inc.'s current valuation metrics, including its Forward P/E ratio of 9.39. This valuation marks a discount compared to its industry's average Forward P/E of 19.05.
Investors should also note that BIDU has a PEG ratio of 0.45 right now. 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 industry currently had an average PEG ratio of 1.66 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 98, putting it in the top 39% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BIDU in the coming trading sessions, be sure to utilize Zacks.com.