Tag Archives: bidu

Baidu Stock Tumbles As China Launches Probe Over Student’s Death

China’s Internet regulator said it will team up with the national health commission and another agency to probe Baidu ( BIDU ) over the death of a university student who had used the Chinese search engine to look for treatment for his cancer. The 21-year-old university student, Wei Zexi, died last month of a rare form of cancer, Reuters reported . Wei had posted criticism online accusing Baidu of promoting false medical information, as well as the hospital for misleading advertising in claiming a high success rate for the experimental treatment, state radio said. Baidu said it would fully cooperate. In 2010, China’s state-run television accused Baidu of promoting counterfeit drugs through its search engine. U.S. shares of Baidu fell 7.9% in the stock market today , to 178.91. Shares fell through their 50-day moving average, but found support just above the 200-day line. Baidu stock broke out of a cup-with-handle base with a 197.60 buy point on Friday, hitting a four-month intraday high of 201. But the stock has now undercut that entry area.

China’s Web Regulator To Probe Baidu On Medical Claim

China’s Internet regulator said it will probe Baidu ( BIDU ) over the death of a university student who had used the search engine to look for treatment for his cancer. The 21-year-old university student, Wei Zexi, died last month of a rare form of cancer, Reuters reported . Wei had posted criticism online accusing Baidu of promoting false medical information, as well as the hospital for misleading advertising in claiming a high success rate for the experimental treatment, state radio said. The company said it would fully cooperate. In 2010, China’s state-run television accused Baidu of promoting counterfeit drugs through its search engine. U.S. shares of Baidu were down 7.5% in early trading in the stock market today , near 179. Baidu stock broke out of a cup-with-handle base at 189.90 on March 29, but is now down nearly 6% from its breakout. On Friday, however, Baidu stock had touched a four-month intraday high of 201.

Baidu Zooms On ‘Solid’ Search Growth, ‘Very Strong’ Revenue Outlook

Baidu ( BIDU ) stock shot up Friday after China’s Internet search leader gave a Q2 outlook above consensus late Thursday while posting Q1 earnings and revenue that beat and met, respectively, Wall Street views. Baidu posted “solid results on core search” along with “very strong” revenue guidance for Q2, ITG Investment Research analyst Henry Guo told IBD via email Friday. China’s slowing economic growth “has no impact on advertisers spending,” Guo said. “Local merchants continue to embrace search advertising as mobile helps Baidu penetrate into local, expanding its advertiser base.” Brean Capital on Friday upgraded Baidu stock to buy from hold. Baidu, often referred to as China’s Google, is investing heavily in services ranging from online payments to online-to-offline transactions including food delivery. And, like Alphabet ( GOOGL )-owned Google, Baidu is spending on research and development of driverless cars. Baidu stock was up 6.5% in midday trading in the stock market today , near 198, its highest level since mid-December. Baidu stock has gained 96% since hitting a nearly three-year low of 100 in late August, but shares have fallen 10% over the past 12 months. Baidu revenue rose 31% year over year in local currency to RMB 15.821 billion ($2.454 billion). That’s above the $2.44 billion that Factset had expected and fell in line with the RMB 15.83 billion analysts polled by Thomson Reuters were looking for. Baidu said that its Q1 revenue excluded Chinese online travel agency Qunar Cayman Islands. In October, Baidu-backed Qunar announced a share swap with Ctrip.com ( CTRP ), another leading Chinese online travel agency. Baidu now owns 3% of Qunar. Baidu also owns 25% of Ctrip, which owns 45% of Qunar. Mobile revenue represented 60% of total revenue in Q1, up from 50% in Q1 2015, Baidu said. Baidu reported EPS ex items of RMB 6.80 ($1.05), down 12% year over year. Still, that’s above the RMB 5.96 analysts polled by Thomson Reuters had expected. For Q2, Baidu guided revenue ranging from RMB 20.110 billion ($3.12 billion) to RMB 20.580 billion ($3.19 billion), representing an increase of 21% to 24% year-over-year in local currency. On an apples-to-apples basis, excluding Qunar from Baidu’s financials, Baidu said that the guidance represents a 28%-31% year-over-year increase in RMB.