Baidu (BIDU) - Reports after the close, Monday, Apr. 22
Wall Street expects Baidu to earn 71 cents per share on revenue of $3.61 billion. This compares to the year-ago quarter when earnings came to $1.88 per share on revenue of $3.01 billion.
What to watch: What is it going to take to get BIDU stock rising again? Despite the broad market rally, BIDU shares have remained relatively at the same level they were when the markets drove lower to end 2018. But there’s still a lot to like with this Chinese tech giant. The company’s increased investments in its core search business and artificial intelligence technologies, while divesting non-core business, continues to pay off. From a valuation perspective, the company’s forward P/E ratio of 20.73 is about ten points lower than the industry average forward P/E of 30.19, which means BIDU stock is trading at a significant discount to its peers. Can its earnings results and guidance Monday narrow that gap?