With the shares trading much lower for three consecutive years, it remains to see when the Baidu stock price at https://www.webull.com/quote/nasdaq-bidu and the firm itself will get back on the growth track. Moreover, after China’s leading search engine operator’s share reported higher than expected earnings per share report on Monday night, it is easy to be nostalgic about Baidu’s glory days. It has also left many people wondering if the former will ever be ready to start winning again.
Impacts of Coronavirus
At first glance, the firm’s first-quarter did not seem solid or progressing as compared with the others. The total revenue reported declined by 7% in the first quarter along with the firm’s feed, flagship, and Al business checking in with a 13% slide. However, the good news among all this is that many investors were already bracing for the worse. Moreover, the unexpected and sudden outburst of coronavirus in China, Baidu’s estimation were calling for a 10%- 18% plunge in core and 5% to 13% year-over-year slide in total revenue. Owing to the destruction of lives caused by the pandemic, the global situation became worse in the third and final month of the quarter. The company’s $3.18 billion in revenue for the quarter was ahead of the $3.1 billion that the analysts were targeting.
A turn around point for the company
Baidu is considered among many of the market’s biggest winners. Ever since the firm went public back in the summer of 2005 at the price of $2.70, it has been a bagger for over 15 years. However, it is an entirely different scenario as compared to the end of 2017 when the Baidu stock price fell and stock shed more than half of its value. However, the company is experiencing some progressive steps such as Baidu daily app users managed to touch 222 in March that is 28% more than last year along with in-app search queries soaring 45%. Moreover, the company’s board has authorized $1 billion in repurchases that are good for the money, with more than $20.7 billion in cash and marketable securities on the company’s balance sheet.
Many investors consider investing in Chinese stocks risky but this does not eliminate Baidu due to its couple of bad years. The company still owes a dominant position and elements such as outburst of the pandemic or a hobbled economy has been clearing the world’s populous nation. Although Baidu isn’t back where it was during its glory, the company is taking steps in the right direction. If you want to know more stock information like akrx, you can visit at https://www.webull.com/quote/nasdaq-akrx .