You're reading a free article with opinions that may differ from The Motley Fool's Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More
Down 26% year to date, and 7% last week alone, the Chinese tech stock is dirt cheap.
Baidu (BIDU 1.26%) shares are down 26% year to date, against a more-than-10% rise in the S&P. So what are investors so scared of? Is it slowing Chinese growth? The rise of Qihoo 360 (QIHU.DL)? Or perhaps the same worries over a fumbled "transition to mobile" that recently dogged Google (GOOGL 0.46%) and Facebook (META 0.38%)?
Actually, it's all of these -- and as Fool contributor Rich Smith explains, none of them change the fact that Baidu is a dirt-cheap dream stock.
Rich Smith is a contributing Stock Market Analyst at The Motley Fool. He is also a contributing Defense Analyst covering publicly traded and emerging private companies in defense, space, and aerospace. Prior to The Motley Fool, Rich practiced international corporate law for Clifford Chance in Russia, and for the Russian-Ukrainian Legal Group in Moscow, Kyiv, and Washington, D.C. He holds a B.A. in International Relations from the College of William & Mary in Virginia, a J.D. from the University of Baltimore, and language certification from the International Institute of Russian Language & Culture in Tver, Russian Federation. Fun fact: Canada's The Globe and Mail featured him in an article titled, "Ex-lawyer one of the best stock pickers since 2009."
Fool contributor Rich Smith has no positions in the stocks mentioned above. The Motley Fool owns shares of Baidu, Facebook, and Google and has the following options: long JAN 2014 $20.00 calls on Facebook. Motley Fool newsletter services recommend Baidu, Facebook, and Google. 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.
Stocks Mentioned
*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.
Related Articles
Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.
