BAIDU INC - SPON ADR (BIDU) Stock Fundamental Analysis
USA - NASDAQ:BIDU - US0567521085 - ADR
124.99 USD
+3.76 (+3.1%)
123.829 USD
-1.16 (-0.93%)
We assign a fundamental rating of 4 out of 10 to BIDU. BIDU was compared to 70 industry peers in the Interactive Media & Services industry. While BIDU is still in line with the averages on profitability rating, there are concerns on its financial health. BIDU has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year BIDU was profitable.
In the past year BIDU has reported a negative cash flow from operations.
BIDU had positive earnings in each of the past 5 years.
In the past 5 years BIDU always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of BIDU (6.05%) is better than 77.14% of its industry peers.
With a decent Return On Equity value of 9.92%, BIDU is doing good in the industry, outperforming 78.57% of the companies in the same industry.
BIDU has a better Return On Invested Capital (4.02%) than 68.57% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BIDU is significantly below the industry average of 13.49%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 9.92% | ||
| ROIC | 4.02% |
ROA(3y)4.01%
ROA(5y)4.27%
ROE(3y)6.65%
ROE(5y)7.37%
ROIC(3y)4.93%
ROIC(5y)4.52%
1.3 Margins
With an excellent Profit Margin value of 20.53%, BIDU belongs to the best of the industry, outperforming 87.14% of the companies in the same industry.
BIDU's Profit Margin has improved in the last couple of years.
BIDU's Operating Margin of 13.27% is fine compared to the rest of the industry. BIDU outperforms 77.14% of its industry peers.
BIDU's Operating Margin has improved in the last couple of years.
BIDU has a worse Gross Margin (47.11%) than 64.29% of its industry peers.
BIDU's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.27% | ||
| PM (TTM) | 20.53% | ||
| GM | 47.11% |
OM growth 3Y23.64%
OM growth 5Y22.17%
PM growth 3Y29.94%
PM growth 5Y56.68%
GM growth 3Y-3.75%
GM growth 5Y3.95%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BIDU is destroying value.
The number of shares outstanding for BIDU remains at a similar level compared to 1 year ago.
Compared to 5 years ago, BIDU has more shares outstanding
Compared to 1 year ago, BIDU has an improved debt to assets ratio.
2.2 Solvency
BIDU has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
BIDU's Debt to Equity ratio of 0.23 is in line compared to the rest of the industry. BIDU outperforms 47.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.57
WACC7.02%
2.3 Liquidity
BIDU has a Current Ratio of 1.85. This is a normal value and indicates that BIDU is financially healthy and should not expect problems in meeting its short term obligations.
BIDU's Current ratio of 1.85 is in line compared to the rest of the industry. BIDU outperforms 52.86% of its industry peers.
BIDU has a Quick Ratio of 1.85. This is a normal value and indicates that BIDU is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.85, BIDU perfoms like the industry average, outperforming 52.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.85 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
BIDU shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.31%.
The Earnings Per Share has been growing by 8.10% on average over the past years. This is quite good.
The Revenue has decreased by -1.48% in the past year.
BIDU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.39% yearly.
EPS 1Y (TTM)-18.31%
EPS 3Y12.5%
EPS 5Y8.1%
EPS Q2Q%-35.39%
Revenue 1Y (TTM)-1.48%
Revenue growth 3Y2.26%
Revenue growth 5Y4.39%
Sales Q2Q%-3.59%
3.2 Future
BIDU is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.22% yearly.
The Revenue is expected to grow by 4.34% on average over the next years.
EPS Next Y-31.15%
EPS Next 2Y-12.66%
EPS Next 3Y-5.39%
EPS Next 5Y11.22%
Revenue Next Year-2.69%
Revenue Next 2Y0.95%
Revenue Next 3Y2.91%
Revenue Next 5Y4.34%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.09, the valuation of BIDU can be described as correct.
Based on the Price/Earnings ratio, BIDU is valued a bit cheaper than the industry average as 72.86% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.03. BIDU is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 15.19 indicates a correct valuation of BIDU.
Based on the Price/Forward Earnings ratio, BIDU is valued a bit cheaper than 64.29% of the companies in the same industry.
BIDU is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.09 | ||
| Fwd PE | 15.19 |
4.2 Price Multiples
94.29% of the companies in the same industry are more expensive than BIDU, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.24 |
4.3 Compensation for Growth
The decent profitability rating of BIDU may justify a higher PE ratio.
BIDU's earnings are expected to decrease with -5.39% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.61
EPS Next 2Y-12.66%
EPS Next 3Y-5.39%
5. Dividend
5.1 Amount
BIDU does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
124.99
+3.76 (+3.1%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners23.31%
Inst Owner Change-2.91%
Ins Owners3.18%
Ins Owner ChangeN/A
Market Cap43.83B
Revenue(TTM)132.85B
Net Income(TTM)27.27B
Analysts77.44
Price Target138.19 (10.56%)
Short Float %24.62%
Short Ratio1.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)11%
Min EPS beat(2)-1.36%
Max EPS beat(2)23.35%
EPS beat(4)2
Avg EPS beat(4)15.03%
Min EPS beat(4)-7.11%
Max EPS beat(4)45.24%
EPS beat(8)6
Avg EPS beat(8)17.07%
EPS beat(12)10
Avg EPS beat(12)17.69%
EPS beat(16)14
Avg EPS beat(16)25.43%
Revenue beat(2)1
Avg Revenue beat(2)0.42%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)2.95%
Revenue beat(4)2
Avg Revenue beat(4)-0.09%
Min Revenue beat(4)-2.12%
Max Revenue beat(4)2.95%
Revenue beat(8)2
Avg Revenue beat(8)-0.73%
Revenue beat(12)6
Avg Revenue beat(12)-0.17%
Revenue beat(16)8
Avg Revenue beat(16)-0.2%
PT rev (1m)35.88%
PT rev (3m)29.71%
EPS NQ rev (1m)-18.07%
EPS NQ rev (3m)-39.76%
EPS NY rev (1m)-3.37%
EPS NY rev (3m)-22.46%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)-6.11%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)-2.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.09 | ||
| Fwd PE | 15.19 | ||
| P/S | 2.35 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.13 | ||
| P/tB | 1.47 | ||
| EV/EBITDA | 4.24 |
EPS(TTM)9.55
EY7.64%
EPS(NY)8.23
Fwd EY6.58%
FCF(TTM)-0.1
FCFYN/A
OCF(TTM)-0.1
OCFYN/A
SpS53.21
BVpS110.16
TBVpS85.31
PEG (NY)N/A
PEG (5Y)1.61
Graham Number153.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | 9.92% | ||
| ROCE | 4.82% | ||
| ROIC | 4.02% | ||
| ROICexc | 6.03% | ||
| ROICexgc | 8.03% | ||
| OM | 13.27% | ||
| PM (TTM) | 20.53% | ||
| GM | 47.11% | ||
| FCFM | N/A |
ROA(3y)4.01%
ROA(5y)4.27%
ROE(3y)6.65%
ROE(5y)7.37%
ROIC(3y)4.93%
ROIC(5y)4.52%
ROICexc(3y)10%
ROICexc(5y)9.89%
ROICexgc(3y)13.82%
ROICexgc(5y)14.23%
ROCE(3y)5.95%
ROCE(5y)5.43%
ROICexgc growth 3Y-1.65%
ROICexgc growth 5Y6.18%
ROICexc growth 3Y4.43%
ROICexc growth 5Y7.99%
OM growth 3Y23.64%
OM growth 5Y22.17%
PM growth 3Y29.94%
PM growth 5Y56.68%
GM growth 3Y-3.75%
GM growth 5Y3.95%
F-Score2
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.85 | ||
| Quick Ratio | 1.85 | ||
| Altman-Z | N/A |
F-Score2
WACC7.02%
ROIC/WACC0.57
Cap/Depr(3y)44.89%
Cap/Depr(5y)41.77%
Cap/Sales(3y)7.13%
Cap/Sales(5y)7.08%
Profit Quality(3y)146.77%
Profit Quality(5y)122.91%
High Growth Momentum
Growth
EPS 1Y (TTM)-18.31%
EPS 3Y12.5%
EPS 5Y8.1%
EPS Q2Q%-35.39%
EPS Next Y-31.15%
EPS Next 2Y-12.66%
EPS Next 3Y-5.39%
EPS Next 5Y11.22%
Revenue 1Y (TTM)-1.48%
Revenue growth 3Y2.26%
Revenue growth 5Y4.39%
Sales Q2Q%-3.59%
Revenue Next Year-2.69%
Revenue Next 2Y0.95%
Revenue Next 3Y2.91%
Revenue Next 5Y4.34%
EBIT growth 1Y-23.67%
EBIT growth 3Y26.43%
EBIT growth 5Y27.52%
EBIT Next Year-6.22%
EBIT Next 3Y6.26%
EBIT Next 5Y10.29%
FCF growth 1Y-100.73%
FCF growth 3Y13.47%
FCF growth 5Y6.8%
OCF growth 1Y-100.73%
OCF growth 3Y1.81%
OCF growth 5Y-5.69%
BAIDU INC - SPON ADR / BIDU FAQ
Can you provide the ChartMill fundamental rating for BAIDU INC - SPON ADR?
ChartMill assigns a fundamental rating of 4 / 10 to BIDU.
What is the valuation status of BAIDU INC - SPON ADR (BIDU) stock?
ChartMill assigns a valuation rating of 4 / 10 to BAIDU INC - SPON ADR (BIDU). This can be considered as Fairly Valued.
Can you provide the profitability details for BAIDU INC - SPON ADR?
BAIDU INC - SPON ADR (BIDU) has a profitability rating of 6 / 10.
What is the earnings growth outlook for BAIDU INC - SPON ADR?
The Earnings per Share (EPS) of BAIDU INC - SPON ADR (BIDU) is expected to decline by -31.15% in the next year.