Baidu, Inc. (NASDAQ:BIDU) reported a decline in revenue and negative free cash flow for the third quarter on Tuesday.
The company reported quarterly revenue of $4.38 billion, a decline of 7% year-on-year (Y/Y), topping analysts' consensus estimate of $4.31 billion.
Despite the revenue shortfall, Baidu's adjusted earnings per American Depositary Share (ADS) came in at $1.56, exceeding the forecast of 91 cents.
CEO Robin Li highlighted strong momentum in AI Cloud as more enterprises adopt Baidu's AI products and solutions. He noted that Apollo Go rapidly expanded its fully driverless ride-hailing operations -- including its move into Switzerland -- while maintaining top-tier safety performance. He also pointed to fast revenue growth from AI-native monetization tools such as agents and digital humans.
Baidu shares fell 1.3% to trade at $115.65 on Wednesday.
These analysts made changes to their price targets on Baidu following earnings announcement.
Goldman Sachs analyst Lincoln Kong maintained Baidu with a Buy and raised the price target from $154 to $155. Barclays analyst Jiong Shao maintained Baidu with an Equal-Weight rating and raised the price target from $81 to $100. Benchmark analyst Fawne Jiang maintained the stock with a Buy and raised the price target from $115 to $158. B of A Securities analyst Eddie Leung maintained Baidu with a Buy and raised the price target from $100 to $151. Morgan Stanley analyst Gary Yu maintained the stock with an Equal-Weight rating and lowered the price target from $140 to $130.
Considering buying BIDU stock? Here's what analysts think:
Read This Next:
Wall Street's Most Accurate Analysts Spotlight On 3 Materials Stocks Delivering High-Dividend Yields
Photo via Shutterstock
BIDUBaidu Inc$115.65-1.27%OverviewMarket News and Data brought to you by Benzinga APIs