Baidu Inc BIDU is set to announce its third-quarter earnings this Thursday. Analysts anticipate earnings per share of $2.35 and revenues totaling $4.69 billion, with the report coming before the market opens.
Currently, the stock has declined by 22.24% over the past year and is down 24.97% year-to-date.
This article will explore recent trends in Baidu’s stock performance and how it compares to Wall Street’s predictions.
Related Read: Alibaba Plans $5 Billion Bond Sale to Reduce Debt and Repurchase Stock
Baidu Stock Faces Bearish Challenges
Baidu stock is in a strongly bearish trend, currently trading below its five, 20, and 50-day exponential moving averages.
Chart created using Benzinga Pro
Nonetheless, Baidu is showing signs of subtle buying pressure, hinting at possible bullish opportunities.
The stock trades slightly above its eight-day simple moving average (SMA) of $85.52, indicating a short-term bullish outlook. However, the longer-term indicators tell a more concerning story. The 20-day SMA is $88.97, the 50-day SMA is $93.81, and the 200-day SMA is $96.27; each points to bearish conditions.
The MACD, or moving average convergence divergence, is currently at a negative 2.51, reinforcing the stock’s downward trend. Meanwhile, the relative strength index (RSI) sits at 41.65, suggesting the stock may be nearing oversold levels, indicating potential support points in the near future.
Market Analysts Predict 23% Upside for Baidu
Consensus Ratings: The average analyst rating for Baidu stock is currently a Buy, with a price target of $151.95. Recent evaluations from firms like Mizuho, HSBC, and Susquehanna suggest a potential upside of 22.99%, with an average price target of $106.67.
Stock Performance: As of the latest reports, Baidu stock was trading at $86.52 per share, marking a 58% increase at the last check on Wednesday.
Next Steps:
Image: Shutterstock
Market News and Data brought to you by Benzinga APIs
