Bidu and Estimates

Bidu grew last 1/4’s rev by 50%. Here are Yahoo Finance estimates going foward:
Get Analyst Estimates for:
Earnings Est Current Qtr.
Jun 14 Next Qtr.
Sep 14 Current Year
Dec 14 Next Year
Dec 15
Avg. Estimate 8.17 8.99 33.30 46.02
No. of Analysts 9.00 9.00 22.00 26.00
Low Estimate 6.98 7.86 29.05 37.42
High Estimate 9.91 11.22 38.97 54.20
Year Ago EPS 7.52 8.63 29.93 33.30
Revenue Est Current Qtr.
Jun 14 Next Qtr.
Sep 14 Current Year
Dec 14 Next Year
Dec 15
Avg. Estimate 11.96B 13.33B 48.63B 67.24B
No. of Analysts 15 15 26 27
Low Estimate 11.42B 13.01B 45.72B 61.79B
High Estimate 12.12B 13.85B 50.64B 72.71B
Year Ago Sales 7.56B 8.89B 31.94B 48.63B
Sales Growth (year/est) 58.20% 49.90% 52.20% 38.30%
Earnings History Jun 13 Sep 13 Dec 13 Mar 14
EPS Est 7.45 8.65 8.19 5.97
EPS Actual 7.52 8.63 7.90 7.21
Difference 0.07 -0.02 -0.29 1.24
Surprise % 0.90% -0.20% -3.50% 20.80%
EPS Trends Current Qtr.
Jun 14 Next Qtr.
Sep 14 Current Year
Dec 14 Next Year
Dec 15
Current Estimate 8.17 8.99 33.30 46.02
7 Days Ago 8.06 8.88 33.17 46.13
30 Days Ago 7.89 9.04 32.25 45.37
60 Days Ago 7.82 8.95 32.17 45.32
90 Days Ago 9.18 10.76 39.64 53.19
EPS Revisions Current Qtr.
Jun 14 Next Qtr.
Sep 14 Current Year
Dec 14 Next Year
Dec 15
Up Last 7 Days 1 1 1 1
Up Last 30 Days 1 1 2 3
Down Last 30 Days 0 0 1 1
Down Last 90 Days N/A N/A N/A N/A
Growth Est BIDU Industry Sector S&P 500
Current Qtr. 8.60% 42.50% N/A 13.60%
Next Qtr. 4.20% 61.00% 688.10% 17.10%
This Year 11.30% 60.60% 38.10% 8.60%
Next Year 38.20% 26.90% 26.60% 12.00%
Past 5 Years (per annum) 67.78% N/A N/A N/A
Next 5 Years (per annum) 25.34% 18.23% 16.97% 9.73%
Price/Earnings (avg. for comparison categories) 31.39 11.28 18.29 18.58
PEG Ratio (avg. for comparison categories) 1.24 1.50 1.54 2.81
At a price of 167 and eps est at 33.30 the pe would be 5. The rev is growing at 50% while the eps is flattish as they invest in the business.

Is there value here?

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Rizz,
I think there is but, like Saul, I sold out of all my Chinese stocks except for one and it will be gone on Monday. My reasoning is the same as Saul, Chinese companies are to opaque and the company can be stolen from foreigners to easily. So I stay away from all Chinese companies.

Andy

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I would be curious why you do not invest in both Bidu and Qihoo

http://seekingalpha.com/article/2204443-ride-the-chinese-int…

They seem very complementary as well as competitors.

Qihoo has had a higher growth rate in revenue but both companies are operating in similar space.

IMO, the basket approach is a reasonable strategy here.

http://www.stockta.com/cgi-bin/analysis.pl?symb=QIHU&cob…

http://www.stockta.com/cgi-bin/analysis.pl?symb=BIDU&cob…

Bidu did have a lower PE in 2012 but it does look interesting here.

Qihoo’ forward PE is just slightly more than BIDU.

1 Like