It's Time To Buy Baidu

Yongyuan Dai In the current market, single-digit P/E and P/FCF multiples are typically reserved for companies that are facing contraction. When a company with such multiples is also selling at a discount to book value, the problems the company is facing can be assumed to be quite dire. In the case of Baidu, Inc. (NASDAQ:BIDU), the Chinese Internet search giant with a P/E of 7.2, a P/FCF of 6.3, and book value in excess of its market cap, nothing could be further from the truth. While Baidu’s growth rate ...