Baidu (BIDU 0.62%) trades for 21 times earnings, narrowly cheaper than Google (GOOGL 10.22%), 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.
