Baidu (Nasdaq:BIDU) is China’s biggest digital search empire- so it makes sense that investors fear Alphabet (Nasdaq:GOOGL) one day chasing at BIDU’s heels. Rumor has it Alphabet is planning a comeback to China.
Baidu CEO Robin Li wrote on his verified WeChat account his giant is ready to do tech battle: “Google decides to return to China, we are very confident we can just PK and win again.” What does PK mean? It’s Chinese gaming slang for “player-kill.”
It is as simple as game-over for Google should the tech titan return to the Chinese market? Consider that much like Google, BIDU is a behemoth that surpasses more than just a search engine. Especially recently, the company has had eyes on fierce expansion to artificial intelligence.
As far as Li is concerned, the tech universe is China’s game to lose: “Chinese tech companies have already taken the lead… The whole world is copying from China.”
Yet, what does Wall Street make of this $75.65 billion tech giant? According to TipRanks’ Analysts’ Top Stocksinvestor tool, Baidu is a top-recommended stock; Google fears or not. All recent top-ranked analysts’ ratings on Baidu are a Buy- even though the stock has seen a roughly 20% dip over the last three months.
Let’s explore why top analysts remain so upbeat on BIDU:
BIDU Wins a New Bull
Susquehanna’s Shyam Patil (Profile & Recommendations) – a five-star analyst on TipRanks – just initiated coverage on Baidu- and the Chinese internet giant’s bullish camp just got bigger.
Patil initiates on BIDU with a Positive rating, anticipating shares could spiral up to $325. In other words, the new bull sees a massive 50% upside potential ahead for the “dominant player in the China search market.”
Consider the tech giant “a key player in the emerging feeds market, and majority owner of one of the top video assets in the country,” continues Patil, who sees “several initiatives underway that can drive upside over the near- to intermediate-term.”
