Baidu Inc. (BIDU), the prominent Chinese language internet search provider, has garnered positive sentiments from Wall Street analysts who predict a promising future for its stock over the next year. Currently trading at approximately $156.08, analysts have set an average 12-month price target for BIDU at $160.67, with a low estimate of $100.00 and a robust high forecast of $215.00.
Several leading investment firms have recently adjusted their ratings and price targets for Baidu. Notable among them is Barclays, whose analyst Jiong Shao raised the price target from $100 to $147, maintaining an Equal Weight rating. Morgan Stanley’s Gary Yu also updated his firm’s target, increasing it from $130 to $150, while still holding an Equal Weight rating. This revision comes as Morgan Stanley anticipates downward adjustments in their core revenue estimates for 2025 and 2026, bellwethers for advertising performance. Nonetheless, they have slightly increased their operating profit expectations for 2026, highlighting potential efficiencies from organizational restructuring.
Freedom Capital has expressed even stronger optimism, raising its target from $120 to $160 while maintaining a Buy rating, citing Baidu’s ongoing transformation and potential recovery in profitability. Jefferies analyst Thomas Chong also increased his target from $159 to $181, supported by the company’s prospective spin-off of Kunlunxin shares, which is projected to unlock significant value for Baidu. Jefferies estimates Kunlunxin’s valuation could range between $16 billion and $23 billion, implying a considerable stake for Baidu.
Operating through two main segments—Baidu Core and iQIYI—Baidu continues to innovate across various domains, providing everything from search-based marketing services to cloud computing and intelligent driving initiatives. The iQIYI segment adds further value, delivering a diverse array of professionally produced video content.
As Baidu navigates its strategic direction, the consensus among analysts highlights a cautious yet optimistic outlook. The company’s commitment to evolving in the competitive tech landscape and capitalizing on its AI initiatives gives investors a reason to remain hopeful about its trajectory in the coming months. The adjustments in price targets indicate a broader confidence in the company’s fundamentals and its ability to adapt to changing market dynamics.