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Baidu Inc. (BIDU) Outpaces Stock Market Gains: What You Should Know
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Baidu Inc. (BIDU - Free Report) closed at $179.75 in the latest trading session, marking a +1.64% move from the prior day. This change outpaced the S&P 500's 0.54% gain on the day. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq gained 0.95%.
Prior to today's trading, shares of the web search company had lost 3.54% over the past month. This has was narrower than the Computer and Technology sector's loss of 3.66% and the S&P 500's loss of 4.97% in that time.
BIDU will be looking to display strength as it nears its next earnings release, which is expected to be February 12, 2019. On that day, BIDU is projected to report earnings of $1.91 per share, which would represent a year-over-year decline of 16.59%. Meanwhile, our latest consensus estimate is calling for revenue of $3.86 billion, up 6.58% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.92 per share and revenue of $15.13 billion, which would represent changes of +1.33% and +19.31%, respectively, from the prior year.
Any recent changes to analyst estimates for BIDU should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. BIDU is currently a Zacks Rank #4 (Sell).
In terms of valuation, BIDU is currently trading at a Forward P/E ratio of 17.84. This valuation marks a discount compared to its industry's average Forward P/E of 27.84.
We can also see that BIDU currently has a PEG ratio of 0.78. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. BIDU's industry had an average PEG ratio of 2.16 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 85, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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) Outpaces Stock Market Gains: What You Should Know
Baidu Inc. (BIDU - Free Report) closed at $179.75 in the latest trading session, marking a +1.64% move from the prior day. This change outpaced the S&P 500's 0.54% gain on the day. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq gained 0.95%.
Prior to today's trading, shares of the web search company had lost 3.54% over the past month. This has was narrower than the Computer and Technology sector's loss of 3.66% and the S&P 500's loss of 4.97% in that time.
BIDU will be looking to display strength as it nears its next earnings release, which is expected to be February 12, 2019. On that day, BIDU is projected to report earnings of $1.91 per share, which would represent a year-over-year decline of 16.59%. Meanwhile, our latest consensus estimate is calling for revenue of $3.86 billion, up 6.58% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.92 per share and revenue of $15.13 billion, which would represent changes of +1.33% and +19.31%, respectively, from the prior year.
Any recent changes to analyst estimates for BIDU should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. BIDU is currently a Zacks Rank #4 (Sell).
In terms of valuation, BIDU is currently trading at a Forward P/E ratio of 17.84. This valuation marks a discount compared to its industry's average Forward P/E of 27.84.
We can also see that BIDU currently has a PEG ratio of 0.78. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. BIDU's industry had an average PEG ratio of 2.16 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 85, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.