Baidu Stock May Rally Again In October: Should You Invest?

On Monday, Baidu (BIDU) stock price closed at a lower level of $144.73, and today the market jumped by as much as 8%. BIDU will seek to demonstrate its strength as it approaches the following earnings report. On this day, according to forecasts, BIDU will report a profit of $ 2.16 per share, which will mean a decrease of 28% compared to the same period last year.

It is also important to note the recent changes in analyst estimates for Baidu. Recent changes tend to reflect recent short-term business trends. As a result, he can interpret positive changes in valuations as a good sign for the company’s business prospects. Valuation is also important, so investors should note that BIDU now has a forward P/E ratio of 17. This estimate means a discount compared to the industry’s average forecast P/E of 26.73.