BAIDU INC. ADS - Baidu, Inc. (symbol ‘BIDU’) - 02/21/2024 (GMT)

Shares of Baidu, Inc. (symbol ‘BIDU’) incurred losses in the last quarter of the year and declined by around 12%. The company’s earnings report for the fiscal quarter ending December 2023 is expected to be released on Wednesday 28th of February, before market open. The consensus EPS is $1.95 against $1.49 in the same quarter last year.

‘ Even though the share of the company took a hit in the last quarter, the financial image that the company displays tells another story.  As of 30/09/2023, the total assets of the company outweigh the total liabilities of the company at a ratio of around 2.5:1 and at the same time, the long-term debt has declined by more than 7%. In addition, the net profit of the company has been rising for the last 6 consecutive quarters while the current ratio is at a staggering 282% meaning that the company is more than capable of facing any financial turmoil. ‘ said Antreas Themistokleous, trading specialist at Exness. From the technical analysis perspective, the price has found some resistance on the 50% of the daily Fibonacci retracement level and is correcting to the downside at the  time of this report being written. The Stochastic oscillator is in neutral levels not recording any overbought or oversold sentiment while the 50 day moving average is trading below the 100 day moving average indicating that the overall bearish momentum is still in effect. If the recent correction projects into the near short term then the first area of possible support might be seen around the $103 price area which is just below the 23.6% of the Fibonacci retracement as well as the area of price reaction multiple times in the last month.