Baidu price target raised to $158 from $115 at Benchmark

Benchmark analyst Fawne Jiang raised the firm’s price target on Baidu (BIDU) to $158 from $115 and keeps a Buy rating on the shares. Q3 results “reveal a clear divergence in growth drivers” as core search ad revenue remains challenged, while AI initiatives are gaining strong momentum, the analyst tells investors. Search recovery remains a near-term concern, but the firm views upside as likely from AI momentum, execution of strategic milestones, and potential for proactive capital returns, adding that it believes a sum-of-the-parts approach is “appropriate” so it is basing its target on its SoTP valuation.