BAIDU INC - SPON ADR (BIDU)

US0567521085 - ADR

85.98  +0.93 (+1.09%)

Fundamental Rating

6

Taking everything into account, BIDU scores 6 out of 10 in our fundamental rating. BIDU was compared to 73 industry peers in the Interactive Media & Services industry. While BIDU has a great profitability rating, there are some minor concerns on its financial health. BIDU is valued quite cheap, while showing a decent growth score. This is a good combination! With these ratings, BIDU could be worth investigating further for value investing!.



7

1. Profitability

1.1 Basic Checks

BIDU had positive earnings in the past year.
In the past year BIDU had a positive cash flow from operations.
In the past 5 years BIDU has always been profitable.
BIDU had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

With a decent Return On Assets value of 4.90%, BIDU is doing good in the industry, outperforming 79.17% of the companies in the same industry.
BIDU has a better Return On Equity (7.88%) than 83.33% of its industry peers.
The Return On Invested Capital of BIDU (5.19%) is better than 73.61% of its industry peers.
BIDU had an Average Return On Invested Capital over the past 3 years of 3.96%. This is significantly below the industry average of 10.96%.
The 3 year average ROIC (3.96%) for BIDU is below the current ROIC(5.19%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 4.9%
ROE 7.88%
ROIC 5.19%
ROA(3y)3.07%
ROA(5y)3.32%
ROE(3y)5.28%
ROE(5y)5.86%
ROIC(3y)3.96%
ROIC(5y)3.71%

1.3 Margins

With an excellent Profit Margin value of 15.27%, BIDU belongs to the best of the industry, outperforming 84.72% of the companies in the same industry.
BIDU's Profit Margin has declined in the last couple of years.
BIDU has a Operating Margin of 16.98%. This is amongst the best in the industry. BIDU outperforms 84.72% of its industry peers.
In the last couple of years the Operating Margin of BIDU has remained more or less at the same level.
BIDU has a worse Gross Margin (51.10%) than 66.67% of its industry peers.
In the last couple of years the Gross Margin of BIDU has remained more or less at the same level.
Industry RankSector Rank
OM 16.98%
PM (TTM) 15.27%
GM 51.1%
OM growth 3Y3.91%
OM growth 5Y1.35%
PM growth 3Y-11.36%
PM growth 5Y-11.51%
GM growth 3Y-6.95%
GM growth 5Y0.91%

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BIDU is destroying value.
The number of shares outstanding for BIDU has been increased 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

The Debt to FCF ratio of BIDU is 2.35, which is a good value as it means it would take BIDU, 2.35 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BIDU (2.35) is better than 73.61% of its industry peers.
BIDU has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
BIDU has a Debt to Equity ratio (0.24) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.24
Debt/FCF 2.35
Altman-Z N/A
ROIC/WACC0.83
WACC6.25%

2.3 Liquidity

BIDU has a Current Ratio of 2.19. This indicates that BIDU is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.19, BIDU is in line with its industry, outperforming 51.39% of the companies in the same industry.
A Quick Ratio of 2.19 indicates that BIDU has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.19, BIDU is in line with its industry, outperforming 51.39% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.19
Quick Ratio 2.19

5

3. Growth

3.1 Past

BIDU shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.77%.
The Earnings Per Share has been growing slightly by 3.09% on average over the past years.
The Revenue has been growing slightly by 0.93% in the past year.
Measured over the past years, BIDU shows a small growth in Revenue. The Revenue has been growing by 5.65% on average per year.
EPS 1Y (TTM)6.77%
EPS 3Y8.16%
EPS 5Y3.09%
EPS Q2Q%-18.63%
Revenue 1Y (TTM)0.93%
Revenue growth 3Y7.92%
Revenue growth 5Y5.65%
Sales Q2Q%-2.58%

3.2 Future

Based on estimates for the next years, BIDU will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.44% on average per year.
Based on estimates for the next years, BIDU will show a small growth in Revenue. The Revenue will grow by 7.63% on average per year.
EPS Next Y-2.3%
EPS Next 2Y-1.63%
EPS Next 3Y1.57%
EPS Next 5Y10.44%
Revenue Next Year-0.76%
Revenue Next 2Y1.62%
Revenue Next 3Y3.4%
Revenue Next 5Y7.63%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

8

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 7.84, the valuation of BIDU can be described as very cheap.
88.89% of the companies in the same industry are more expensive than BIDU, based on the Price/Earnings ratio.
BIDU's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.78.
With a Price/Forward Earnings ratio of 7.95, the valuation of BIDU can be described as very cheap.
Based on the Price/Forward Earnings ratio, BIDU is valued cheaper than 90.28% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.23, BIDU is valued rather cheaply.
Industry RankSector Rank
PE 7.84
Fwd PE 7.95

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, BIDU is valued cheaper than 98.61% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BIDU indicates a rather cheap valuation: BIDU is cheaper than 95.83% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 7.4
EV/EBITDA 0.82

4.3 Compensation for Growth

The decent profitability rating of BIDU may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.54
EPS Next 2Y-1.63%
EPS Next 3Y1.57%

0

5. Dividend

5.1 Amount

No dividends for BIDU!.
Industry RankSector Rank
Dividend Yield N/A

BAIDU INC - SPON ADR

NASDAQ:BIDU (12/2/2024, 12:42:08 PM)

85.98

+0.93 (+1.09%)

Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap30.15B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield N/A
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 7.84
Fwd PE 7.95
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)2.54
Profitability
Industry RankSector Rank
ROA 4.9%
ROE 7.88%
ROCE
ROIC
ROICexc
ROICexgc
OM 16.98%
PM (TTM) 15.27%
GM 51.1%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.32
Health
Industry RankSector Rank
Debt/Equity 0.24
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 2.19
Quick Ratio 2.19
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)6.77%
EPS 3Y8.16%
EPS 5Y
EPS Q2Q%
EPS Next Y-2.3%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.93%
Revenue growth 3Y7.92%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y