Jefferies analyst Thomas Chong raised the firm’s price target on Baidu (BIDU) to $181 from $159 and keeps a Buy rating on the shares after the company announced the proposed spin-off of Kunlunxin shares and separate listing on the Hong Kong exchange. Jefferies estimates Kunlunxin’s valuation will be between $16B and $23B. This implies a valuation to Baidu of $9B-$13B, considering its stake in the unit, the analyst tells investors in a research note. The firm believes the spinoff “aims to showcase” Kunlunxin’s value and “unlocks” Baidu’s value in the artificial intelligence powered business.
Claim 70% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on BIDU:
- Baidu proposes spinoff, listing of AI chip unit Kunlunxin
- Baidu jumps 12% to $146.50 after plan to spinoff AI chip unit
- Baidu participates in a conference call with Benchmark.
- Baidu Stock Forecast: Analysts See Strong Upside from AI-Powered Growth in 2026
- ARK Invest’s Cathie Wood Buys Crypto & Chinese Stocks, Forecasts Huge 2026 Rebound