Why I Loaded Up on Baidu

Updated

Baidu trades for 21 times earnings, narrowly cheaper than Google , yet Baidu is growing significantly faster than Google and has promising macro tailwinds in its favor.

Given that the company commands 80% of the search market in the country, and half of China's population still doesn't have Internet access, it's easy to see how Baidu could continue to grow for years to come.

But that's not all -- the company is also make big moves in the mobile space and looking to secure a similarly dominant position in that arena. They'll be launching a low-cost smartphone which should be a compelling proposition for a country where the average annual income is still around $4,000.


But no investment is guaranteed, and before you even think about investing in this company, make sure you read this premium report today. In it, our top Baidu analyst, Andrew Tonner, separates fact from fiction and tells investors what they need to know to determine whether Baidu is a buy today. Just click here to access it now.

The article Why I Loaded Up on Baidu originally appeared on Fool.com.

Austin Smith owns shares of Apple, Baidu, and Google. The Motley Fool owns shares of Apple, Baidu, and Google. Motley Fool newsletter services recommend Apple, Baidu, and Google. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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