by winston » Wed Jun 14, 2023 2:56 pm
not vested
BIDU(9888)
Analysis：
In the first quarter of 2023, Baidu (9888) Core delivered a solid performance, with year-on-year revenue growth accelerating from previous quarters, supporting operating margin improvement through operating leverage.
Total revenues were RMB31.1 billion, increasing 10% year over year.
Revenue from Baidu Core was RMB23 billion, increasing 8% year over year. Among which, online marketing revenue was RMB16.6 billion, up 6% year over year, and non-online marketing revenue was RMB6.4 billion, up 11% year over year.
Revenue from iQIYI was RMB8.3 billion ($1.22 billion), increasing 15% year over year. Operating income was RMB4.98 billion, up 91% year over year and up 8% quarter over quarter.
Baidu Core operating income was RMB4.091 billion, up 62% year over year and up 8% quarter over quarter.
Net income attributable to Baidu was RMB5.825 billion as compared to net loss of RMB885 million in the same period last year.
Adjusted EBITDA was RMB8.145 billion, up 48% year over year and adjusted EBITDA margin was 26%, up 7 percentage points year over year and up 1 percentage point quarter over quarte.
The emergence of generative AI and large language model presents a transformative potential of AI in various industries, to help people and organizations to achieve more.
In light of this trend, Baidu has introduced its ERNIE Bot in China, which it plans to steadily incorporate into all its businesses.
This will empower its products and offerings, drawing in a larger user and customer base, while allowing it to establish a new ecosystem around the ERNIE Bot for the new era. It will also enable the Group to drive long-term, sustainable growth. (I do not hold the above stock)
Strategy：
Buy-in Price: $135, Target Price: $150, Cut Loss Price: $128
Source: Phillips
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
