Baidu, Inc. (NASDAQ:BIDU) has been gaining attention as one of the top AI stocks that are skyrocketing. Recently, Tiger Securities increased its price target on Baidu from $135 to $150 and maintained its Buy rating. The firm highlighted the potential for Baidu to create more value for shareholders, especially after the announcement of the listing of its AI chip unit, Kunlunxin. Baidu has confidentially filed for an IPO in Hong Kong for Kunlunxin, in which it currently owns about 59-60% of the subsidiary and plans to retain majority control post-IPO.
Tiger Securities also pointed out that Baidu Cloud is well-positioned to benefit from the increasing adoption of AI technology in China. Additionally, the firm believes that Baidu’s robotaxi business could see a higher valuation as investors shift their focus towards downstream AI applications.
While Tiger Securities remains cautious about Baidu’s short-term revenue and earnings growth, they are optimistic about the company’s long-term AI potential. The firm sees several catalysts on the horizon, particularly in the robotaxi and AI cloud businesses. Earlier in January, Barclays also raised its price target on Baidu from $100 to $147 and maintained an Equal Weight rating.
Baidu is a prominent AI and technology company that specializes in internet services and AI. The company offers a comprehensive AI stack with four layers, including cloud infrastructure, the deep learning framework PaddlePaddle, self-developed ERNIE foundation models, and various applications.
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In conclusion, Baidu’s recent developments and strategic moves in the AI sector have garnered positive attention from analysts and investors. The company’s focus on AI innovation and expansion into new markets could drive future growth and shareholder value.
