Baidu (BIDU) received at least three ratings downgrades and saw its stock tumble on Tuesday to a 13-month low after the company, China’s Internet search leader, missed on Q2 earnings and gave weak revenue guidance late Monday amid continued heavy spending on its emerging online-to-offline (O2O) subsidiary. Baidu stock was down 17% to 163.60 in afternoon trading in the stock market today. Baidu is about to enter “several years of low earnings
Baidu late Monday reported mixed Q2 results and gave weak revenue guidance, sending the China search giant’s stock tumbling in after-hours action. Revenue rose 38% to $2.67 billion, snapping a four-quarter string of decelerating growth. Analysts polled by Thomson Reuters had $2.66 billion. Baidu’s (BIDU) reported earnings per U.S. share was $1.64, up from $1.63 a year earlier but apparently missing analyst estimates for $1.71.
Baidu (BIDU) and other China tech stocks fell on Monday on the heels of data showing the country’s manufacturing sector is shrinking. Baidu, China’s leading search engine, is slated to report Q2 earnings after the close Monday. Analysts expect the company to continue to feel pressure on its profit margins in the wake of a weak showing in Q1. Baidu stock was down 4% in early afternoon trading in the stock market today, near 199, and is down 14%