Baidu (BIDU), HK 9888; 02 (Nov 22 - Dec 26)

[winston]

not vested

China suspends autonomous driving permits after Baidu outage

The halt comes as a setback to a fast-growing industry that is estimated to be worth 83.1 billion yuan by 2030

The suspension of new licences prevents self-driving companies from adding new robotaxis to their fleets, starting a new test project or expanding to a new city.

It is not clear how long the suspension will last.

The share price of Baidu, Pony AI and WeRide dropped.

Apollo Go is the largest robotaxi provider in China, with hundreds of vehicles in more than a dozen cities.

Source: Business Times

https://www.businesstimes.com.sg/compan ... 0by%202030

[winston]

not vested

<Research>CLSA: Baidu, Inc. (BIDU.US) AI Cloud Infra Revenue Sees Robust Growth; Marketing Services Remain Subdued

CLSA foresaw Baidu, Inc. (BIDU.US)'s Baidu General Business (BGB) revenue for 1Q26 to fade 2.5% YoY to RMB24.8 billion, dragged by a more than 20% slump in marketing revenue.

However, revenue from AI-related businesses was projected to hike 39% YoY to RMB12.4 billion, accounting for 50% of BGB revenue.

Among them, AI cloud infrastructure (including chips) has become a new growth engine, on the back of a surge in inference workloads, with revenue adding more than 40% YoY.

The broker expected BGB's adjusted EBIT for 1Q26 to fall 32% YoY to RMB3.3 billion. Nevertheless, under meaningful headcount reduction measures, margins were estimated to start recovering QoQ.

Management anticipated that total BGB revenue will grow 1.8% YoY in 2Q26, with margins continuing to improve QoQ.

Progress on the spin-off plan for Baidu's Kunlunxin is moving along smoothly, and the company also plans to enhance shareholder returns through share buybacks and dividends.

CLSA maintained an Outperform rating on Baidu, Inc. with a TP of USD176.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

<Research>Citi: Kunlunxin Potential IPO and Proposed Div. This Yr Seen as Upside Catalysts for BIDU-SW

According to recent media reports, BIDU-SW (09888.HK) 's chip subsidiary Kunlunxin is applying for a listing in Hong Kong while also planning to list on Shanghai's STAR Market, Citi said in a research report.

The broker believes this is a common strategy among Chinese semiconductor companies and expects management to provide more details on the listing timetable and procedures during the 1Q earnings conference call to be held on May 18.

Related News UOB Kay Hian: AI Cloud Top Sub-sector in China Internet; BABA-W (09988.HK) Preferred

The broker also expects updates on the company’s full-stack AI product developments at Baidu Create 2026, slated for May 13-14.

Entering the 1Q earnings season, Citi forecasts that Baidu, Inc.’s (BIDU.US) strong AI cloud infrastructure revenue will grow 45% YoY.

Citi maintained its Buy rating on Baidu, Inc. (BIDU.US) with a target price of USD186.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

China's Baidu beats quarterly revenue estimates

China's Baidu (9888) topped market estimates for quarterly revenue on Monday, boosted by strong demand for its cloud computing services that helped offset lingering weakness in its advertising business.

Revenue from Baidu's core AI-powered business, which consists of the cloud division, AI applications and robotaxi unit, jumped 49 percent to 13.6 billion yuan, accounting for more than half of the company's general business revenue.

The online advertising business reported total revenue of 12.6 billion yuan, down from 16 billion yuan a year earlier.

Total revenue in the first quarter ended March stood at 32.1 billion yuan (US$4.72 billion), compared with analysts' average estimate of 31.35 billion yuan.

Source: Reuters

https://www.thestandard.com.hk/finance/article/332280/

[winston]

not vested

Summary of Latest Ratings, TPs, Views on BIDU-SW (09888.HK)(BIDU.US) (Update)

Brokers | Ratings | TPs | Key Views

Related News: BIDU-SW (09888.HK) 1Q Non-GAAP Net Profit Down 33% YoY to RMB4.332B

Citi | Buy | USD186
1Q results beat in both revenue and profit on accelerating AI monetization, which successfully offset continued weakness in online marketing.

Nomura | Buy | USD186
Strong 1Q AI cloud performance offset drag from online marketing. Transformation of core AI-driven businesses is progressing smoothly.

BofA Securities | Buy | HKD176/USD180
1Q results beat. AI revenue made up of more than half of total revenue, with strong demand for AI cloud offsetting advertising weakness.

Related News: BIDU-SW (09888.HK) Opens 7% Higher; Citi: Positioned as Leader in Emerging "Agentic AI" Era

CLSA | Outperform | USD176
1Q results beat, with strong growth in its BGB driven by AI, particularly its AI cloud infrastructure. The company expected BGB revenue and adjusted EBIT to return to positive YoY growth starting in 2Q26, and will continue to reward shareholders through share buybacks and dividends.

UBS | Buy | USD170
1Q AI cloud infrastructure growth and core non-GAAP operating profit largely beat. The broker expected a positive market reaction.

Morgan Stanley | Equalweight | USD135
1Q AI cloud infrastructure performance was strong and beat expectations, while core non-GAAP operating profit exceeded the broker's forecasts.

Related NewsM Stanley Raises HSI TP to 28,400, Expects Uptrend to Extend to 2Q Next Year

Goldman Sachs | --- | ---
1Q operating profit surpassed expectations. Effective cost control led to huge operating expense savings, while accelerated GPU cloud revenue drove strong AI cloud infrastructure performance.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

<Research>JPM Raises BIDU-SW (09888.HK) TP to HKD225 as AI Biz Propels Valuation Re-rating

JPMorgan released a research report re-evaluating the business structure of BIDU-SW (09888.HK).

The report noted that the market had previously viewed Baidu as a "sinking search plus a Kunlunxin IPO catalyst", with expectations that capital would rotate from Baidu to Kunlunxin after the latter's listing. However, Baidu's 1Q26 results refuted this narrative.

Core AI-powered Business recorded revenue of RMB13.6 billion, up 49% YoY, accounting for 52% of Baidu Core revenue for the first time.

In contrast, Online Marketing Services shrank 22% YoY.

Related News: UOB Kay Hian: BIDU-SW (09888.HK) 1Q Results Beat Expectations; Maintains Buy Rating

Based on this, JPMorgan raised its TP for BIDU-SW (09888.HK) from HKD195 to HKD225, and lifted its TP for Baidu, Inc. (BIDU.US) from USD200 to USD230, while maintaining an Overweight rating.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

Summary of Latest Ratings, TPs, Views on BIDU-SW (09888.HK)(BIDU.US) (Update)

Brokers | Ratings | TPs | Key Views

Related News: JPM Raises BIDU-SW (09888.HK) TP to HKD225 as AI Business Drives Valuation Re-rating

Citi | Buy | USD186
1Q results beat in both revenue and profit on accelerating AI monetization, which successfully offset continued weakness in online marketing.

Nomura | Buy | USD186
Strong 1Q AI cloud performance offset drag from online marketing. Transformation of core AI-driven businesses is progressing smoothly.

BofA Securities | Buy | HKD176/USD180
1Q results beat. AI revenue made up of more than half of total revenue, with strong demand for AI cloud offsetting advertising weakness.

Related News: BIDU-SW (09888.HK) Opens 7% Higher; Citi: Positioned as Leader in Emerging "Agentic AI" Era

CLSA | Outperform | USD176
1Q results beat, with strong growth in its BGB driven by AI, particularly its AI cloud infrastructure. The company expected BGB revenue and adjusted EBIT to return to positive YoY growth starting in 2Q26, and will continue to reward shareholders through share buybacks and dividends.

UBS | Buy | USD170
1Q AI cloud infrastructure growth and core non-GAAP operating profit largely beat. The broker expected a positive market reaction.

Morgan Stanley | Equalweight | USD135
1Q AI cloud infrastructure performance was strong and beat expectations, while core non-GAAP operating profit exceeded the broker's forecasts.

Related News Haitong International Raises Baidu, Inc. (BIDU.US) TP to USD201 as AI Momentum Lifts Earnings Above Expectations

Goldman Sachs | --- | ---
1Q operating profit surpassed expectations. Effective cost control led to huge operating expense savings, while accelerated GPU cloud revenue drove strong AI cloud infrastructure performance.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/analy ... stock-news