Baidu.com, Inc. (ADR) (NASDAQ:BIDU)

CAPS Rating: 4 out of 5

Baidu is the leading Chinese-language Internet search provider.

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Player Avatar joryko (98.74) Submitted: 12/3/2012 8:43:02 PM : Outperform Start Price: $125.27 BIDU Score: +24.95

Posting a ridiculous Gross Margin of 84% and an equally ridiculous Profit Margin of 48%, Baidu dominates Google on these metrics. Furthermore, Baidu holds an 80% market share in China as Google is basically exciting the country altogether.

Qihoo 360's entrance into the search market was not as big of a shock to Baidu's market share as many analysts expected. With huge growth runways still ahead in mobile search and improved internet penetration rates in China down the road, Baidu has a lot to give to investors.

5+ years again and currently a 22% discount to my greenthumbed price. Holding for the long haul.

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