Baidu (BIDU) Stock Rated Buy as AI Cloud and Apollo Go Drive Growth

Baidu, Inc. (NASDAQ:BIDU) ranks among the best Asian stocks to buy. Despite continued revenue issues brought on by Baidu, Inc. (NASDAQ:BIDU)’s AI search revolution, Tiger Securities analyst Bo Pei reiterated a Buy rating and $100 price target on the company on August 20.

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The company’s AI Cloud revenue increased 27% year-over-year to RMB 6.5 billion, driven by subscription-based services and GPU usage of more than 90% for major clusters. That said, management anticipates weaker growth in the latter half of 2025 due to swings in project-based revenue.

Conversely, Baidu’s autonomous driving service Apollo Go provided 2.2 million fully driverless rides in Q2, a 148% increase year-over-year. The company raked in favorable unit economics in China and is expanding globally via collaborations with Uber in Asia/Middle East and Lyft in Europe.

Baidu, Inc. (NASDAQ:BIDU), a leading Chinese technology company, manages China’s largest internet search engine. Beyond its search business, the company has expanded into AI-driven initiatives that include self-driving technology and conversational AI models like Ernie.

While we acknowledge the potential of BIDU to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BIDU and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.