• Bloomberg

    Baidu Investors Fell Out of Love Years Ago

    (Bloomberg Opinion) -- Five years ago, Baidu Inc. founder and Chairman Robin Li sat down with Bloomberg News to explain how foreign investors were getting it wrong.Listed on the Nasdaq a decade earlier, shares of the Chinese search-engine provider had taken a beating over the prior year, and Li’s chief complaint was that Americans just didn’t appreciate the coming changes in its business. The trend in China was toward services like delivery and ride-hailing, as well as bookings for restaurants, beauty salons and doctors. This online-to-offline economy would eclipse search revenue, he predicted.Now, it seems that Li has lost patience. Baidu is looking into the possibility of delisting its shares from the Nasdaq and moving to an exchange closer to home, Reuters reported Friday, citing three people familiar with the matter. Baidu thinks it’s undervalued, according to the report.The backdrop to these discussions is rising hostility to U.S. investments in Chinese assets amid worsening relations between the two countries. The U.S. Senate passed a bill last week that would force companies to delist unless they can prove they’re not under the control of a foreign government.That sounds like a good excuse for Baidu to look for the exit. The reality is that investors lost patience with its management years ago. It was inevitable that the company would seek one day to list elsewhere, as Alibaba Group Holding Ltd. has already done. Baidu’s U.S.-traded stock fell 15% between that September 2015 interview and the end of last year, before the pandemic hit. Over the same period, Alibaba climbed 248%.Li’s problem is that his company failed to grasp the transformation he was talking up half a decade ago. While Alibaba and Tencent Holdings Ltd. have successfully moved into new areas like payments and physical retail, and upstarts like Meituan Dianping and Pinduoduo Inc. now dominate delivery and social-commerce, Baidu has barely changed.Its core business still centers on advertising and accounts for 73% of revenue, which climbed just 2% last year. Investments into new realms like artificial intelligence and autonomous driving have yet to bear fruit. Its other major sales contributor, iQiyi Inc., a video-streaming platform that listed separately on Nasdaq in March 2018, continues to lose money.Around the time that Li complained foreign investors weren’t getting it, some of his contemporaries decided to move home where they felt Chinese investors had a better understanding and would reward them with higher valuations. Internet security company Qihoo 360 Technology Co. was taken private by a consortium that included Citic Group for $9.3 billion in December 2015. It relisted in Shanghai in 2018 via the purchase of elevator maker SJEC Corp., and now trades under the name 360 Security Technology Inc. Chinese investors have soured on 360 Security, pushing the company’s market value down by more than a third since February. There’s a warning for Li. Investors in China won’t assign a higher valuation to a returning company unless it has a convincing growth story to tell. Baidu was a pioneer when it listed on Nasdaq in 2005, paving the way for dozens of Chinese internet stocks to follow. Touted as the Google of China, it symbolized the potential of the sector for American investors. Those days are long gone: Baidu has been eclipsed as China’s technology darling by fasting-growing companies such as Alibaba and Tencent.The problem for Li isn’t that investors don’t understand his business. It may be that they understand it too well.  This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.Nisha Gopalan is a Bloomberg Opinion columnist covering deals and banking. She previously worked for the Wall Street Journal and Dow Jones as an editor and a reporter.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bears book nearly $400 million from legislation aimed at stopping China from ‘cheating’’
    MarketWatch

    Bears book nearly $400 million from legislation aimed at stopping China from ‘cheating’’

    What’s bad news for investors in U.S.-listed China-based stocks is good news for short sellers, who made back almost everything lost this year after the Senate approved the Holding Foreign Companies Accountable Act.

  • ACCESSWIRE

    LAWSUITS FILED AGAINST GOSS, LBRT and BIDU - JAKUBOWITZ LAW PURSUES SHAREHOLDERS CLAIMS

    NEW YORK, NY / ACCESSWIRE / May 24, 2020 / Jakubowitz Law announces that securities fraud class action lawsuits have commenced on behalf of shareholders of the following publicly-traded companies who purchased ...

  • ACCESSWIRE

    SHAREHOLDER ALERT: Pomerantz Law Firm Reminds Shareholders with Losses on their Investment in Baidu, Inc. of Class Action Lawsuit and Upcoming Deadline - BIDU

    NEW YORK, NY / ACCESSWIRE / May 23, 2020 / Pomerantz LLP announces that a class action lawsuit has been filed against Baidu, Inc. ("Baidu" or the "Company") (BIDU) and certain of its officers. The class action, filed in United States District Court for the Northern District of California, San Francisco Division, and indexed under 20-cv-02768, is on behalf of a class consisting of all persons and entities other than Defendants who purchased or otherwise acquired Baidu securities between March 16, 2019, and April 7, 2020, both dates inclusive (the "Class Period"), seeking to recover damages caused by Defendants' violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the "Exchange Act") and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.

  • Are Baozun Inc. (NASDAQ:BZUN) Investors Paying Above The Intrinsic Value?
    Simply Wall St.

    Are Baozun Inc. (NASDAQ:BZUN) Investors Paying Above The Intrinsic Value?

    In this article we are going to estimate the intrinsic value of Baozun Inc. (NASDAQ:BZUN) by estimating the company's...

  • Tuniu Corporation Files Its Annual Report on Form 20-F
    PR Newswire

    Tuniu Corporation Files Its Annual Report on Form 20-F

    Tuniu Corporation (NASDAQ: TOUR) ("Tuniu" or the "Company"), a leading online leisure travel company in China, today announced that it filed its annual report on Form 20-F for the fiscal year ended December 31, 2019 with the Securities and Exchange Commission. The annual report can be accessed on the Company´s investor relations website at http://ir.tuniu.com or the SEC´s website at www.sec.gov. The Company will provide a hard copy of its annual report containing the audited consolidated financial statements, free of charge, to its shareholders and ADS holders upon request. Requests should be directed to the Investor Relations Department at Tuniu Building, No. 699-32 Xuanwu Avenue, Xuanwu District, Nanjing, Jiangsu Province 210042, The People´s Republic of China.

  • GlobeNewswire

    SHAREHOLDER ALERT: CLAIMSFILER REMINDS BBBY, BIDU, GRPN, IQ INVESTORS of Lead Plaintiff Deadline in Class Action Lawsuits

    NEW ORLEANS, May 22, 2020 -- ClaimsFiler, a FREE shareholder information service, reminds investors of pending deadlines in the following securities class action lawsuits: Bed.

  • ACCESSWIRE

    The Klein Law Firm Reminds Investors of Class Actions on Behalf of Shareholders of SERV, BIDU and CTMX

    NEW YORK, NY / ACCESSWIRE / May 22, 2020 / The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of the following companies. There is no cost to participate ...

  • Business Wire

    BAIDU LOSS ALERT: ROSEN, A TOP RANKED INVESTOR FIRM, Reminds Baidu, Inc. Investors of Important Deadline in Class Action – BIDU

    Rosen Law Firm, a global investor rights law firm, reminds purchasers of the securities of Baidu, Inc. (NASDAQ: BIDU) between March 16, 2019, and April 7, 2020, inclusive (the "Class Period"), of the important June 22, 2020 deadline in the class action. The lawsuit seeks to recover damages for Baidu investors under the federal securities laws.

  • Why Baozun Stock Was Sliding Again Today
    Motley Fool

    Why Baozun Stock Was Sliding Again Today

    Shares of Baozun (NASDAQ: BZUN) headed lower for the second day in a row as investors continued to sell the stock on fears that Chinese stocks would be delisted from U.S. stock exchanges. Baozun was down 9.3% as of 3:17 p.m. EDT. The latest salvo in the feud between the U.S. and China, which has taken on a new dimension due to the coronavirus pandemic, is the Senate's passage on Wednesday of a bill that threatens to delist Chinese stocks from U.S. exchanges.

  • Investopedia

    Strained Relations Between China and U.S. Stir Up Market Risk

    Strained relations between China and the U.S. stir up new risks in the stock market as both counties try to navigate through the pandemic economic collapse.

  • Read This Before Selling All Your U.S.-Listed Chinese Stocks
    Motley Fool

    Read This Before Selling All Your U.S.-Listed Chinese Stocks

    Could a new bill making its way through Congress spark a mass exodus of Chinese stocks from U.S. exchanges?

  • NetEase, JD.com's Hong Kong Listings Happening in June
    Motley Fool

    NetEase, JD.com's Hong Kong Listings Happening in June

    NetEase (NASDAQ: NTES) and JD.com (NASDAQ: JD), the two Chinese technology giants, are gearing up to list on the Hong Kong Exchange next month. NetEase will list on the Hong Kong Exchange via a secondary offering on June 11, sources told Reuters. NetEase is aiming to raise as much as $2 billion via the listing while JD.com could raise $3 billion, selling about 5% of its shares outstanding, reports Reuters.

  • 3 Stocks to Buy After the Headline Panic
    InvestorPlace

    3 Stocks to Buy After the Headline Panic

    It's all about the news for many on Wall Street. But headlines are also prone to fading away or even revision, as we've seen this week. It literally can be "yesterday's news" in a jiffy. And opportunistic investors can occasionally turn to the price chart and use others' distress from the latest news report to find excellent stocks to buy cheap. Let me explain.In Friday's first half of trade, the headlines are insisting it's all about escalating tensions between the world's two largest super powers. But that's not exactly new news, is it? We've seen this type of political theater before. And on each of those countless headline warnings, as others were fearfully selling, investors purchasing the panic were rewarded. * 7 Inexpensive, High-Dividend ETFs to Buy Still, the fact is, extracting profits from headlines or timing entries and exits based on the latest news is tricky business. This week's bullish stimulus promises from Federal Reserve Chairman Jerome Powell following last week's scary recession warning, or Moderna's (NASDAQ:MRNA) countering novel coronavirus vaccine reports, are other news headlines that have drained more wallets than they've fattened.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * Take-Two Interactive (NASDAQ:TTWO) * JD.com (NASDAQ:JD) * Netflix (NASDAQ:NFLX)To be clear, sometimes headlines suggesting a specific course of action are the real deal. But more often than not, Wall Street is buying those sold goods as others are dumping. As such, let's explore three stocks to buy with bearish stories of their own this week … and much more durable price charts to buy into. News Stocks to Buy: Take-Two Interactive (TTWO) Source: Charts by TradingViewBig-time video game publisher Take-Two Interactive is the first of our stocks to buy. Shares fell nearly 6% Thursday as investors digested a stronger-than-forecast earnings release. The company behind wildly popular series like Grand Theft Auto, Red Dead Redemption and NBA2K also detailed a five-year plan which will deliver Take-Two's "strongest pipeline in company history." That's good news, right?The report does appear to have been a solid Q4 print. However, management did warn 2021 will be light on new releases and that the company will invest slightly more into R&D. And an in-tow modest revision to revenues just beneath analyst views appears to have been sufficient incentive for investors to take profits.But the game for bullish investors is just getting started on Take-Two's price chart.Technically, yesterday's profit-taking is today's opportunity. Shares have pulled back to test their prior pattern and all-time-high after staging a sizable and very constructive breakout from a two-year long bullish inverse head and shoulders pattern. This news stock to buy is in position for purchase and I'm personally still confident our price target of $180-$200 for Take-Two stock will be captured. JD.com (JD) Source: Charts by TradingViewOne of China's two largest Amazon (NASDAQ:AMZN) clones, JD.com, is our next stock to buy. Along with fellow imitator Alibaba (NYSE:BABA), shares of JD were off Thursday and are continuing to get hit Friday on raised U.S. China tensions as lawmakers also look to pass a bill to delist China-based ADRs.The real story I'm seeing right now in JD shares is to trust the price chart rather than politicians and buy into today's weakness. Technically, shares of JD.com have pulled back into a full-blown testing position of its former and pattern high. The decline in stock price follows Monday's bullish earnings-driven breakout to all-time-highs from a failed and very bullish monthly chart head-and-shoulders formation. * 7 Dow Jones Stocks to Buy With Fortress-Like Balance Sheets In this strategist's view, the powerful price signal and demonstrated relative strength trump today's headline worries and make this a great stock to buy. Without being totally dismissive of other investors' obvious worries, I'd advise using an intermediate-term, out-of-the-money bull call spread in lieu of buying JD shares with their open-ended risk profile. Netflix (NFLX) Source: Charts by TradingViewNot that I've saved the best for last, but it may be the most interesting of our stocks to buy. Our final play is streaming video on demand giant Netflix. Shares were off nearly 4% during the session Thursday and finished down more than 2.5% . The news? The company announced plans to proactively cancel inactive subscriptions, which account for less than .005% of its total membership. Ho, hum, right?Further, the step was already telegraphed during a recent earnings announcement.So, what gives? Could the real bearish driver in shares have been an even more dated case of being yesterday's news?An article on Thursday from Investopedia which landed up at the top of Google's search list discussed Netflix's new, but not terribly exciting inactive accounts policy. Moreover, the story also noted Wedbush analyst Dan Ives warning of growing antitrust momentum for Netflix shares.The warning was real. However, it appears to have been old news from months ago discussed on an interview on Bloomberg. Could that have been the actual, but mistaken, driver behind the sell-off? In this day and age of juiced-up algorithmic trading, I wouldn't be too quick to dismiss the possibility.The good news is the price drop is being offered to the advantage of today's investors. Technically, the pullback in Netflix puts shares within 3% of April's massive 'W' base breakout. I'd recommend buyers give this stock a bit more room down to $385 and size the position accordingly. Conservatively, this powerful and well-built pattern should reverse higher, continue to climb through 2020 and reach an eventual price target of $600 based on the structure's overall size.Investment accounts under Christopher Tyler's management does not own any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * Top Stock Picker Reveals His Next 1,000% Winner * America's Richest ZIP Code Holds Shocking Secret * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post 3 Stocks to Buy After the Headline Panic appeared first on InvestorPlace.

  • Nasdaq Today: Baidu, NetEase Stocks Fall on Delisting Fears
    Motley Fool

    Nasdaq Today: Baidu, NetEase Stocks Fall on Delisting Fears

    The Nasdaq Composite (NASDAQINDEX: ^IXIC) fell 0.25% shortly after 11:30 a.m. EDT, faring somewhat better than the broader market in a familiar pattern. The Nasdaq 100 of larger Nasdaq-listed stocks fell by a similar percentage. At issue is a movement that's picking up steam, aimed at keeping Chinese companies from remaining listed on U.S. stock exchanges.

  • Reuters

    NetEase and JD.com set dates for $5 billion Hong Kong listings

    Chinese technology company NetEase plans to carry out a secondary listing on the Hong Kong Stock Exchange on June 11, which will be followed one week later by web retailer JD.com, four sources with direct knowledge of the matter said. The two transactions could raise a combined $5 billion, separate sources said, and the deals would be the largest for Hong Kong's equity capital markets so far this year. JD.com is expected to be the largest of the two deals with the likelihood it will sell 5% of its shares that could raise up to $3 billion, one source said, while NetEase is targeting a transaction of up to $2 billion, another source said.

  • Alibaba Sales Growth Plumbs New Lows While Uncertainty Escalates
    Bloomberg

    Alibaba Sales Growth Plumbs New Lows While Uncertainty Escalates

    (Bloomberg) -- Alibaba Group Holding Ltd. expects revenue growth to slow this year, reflecting post-Covid 19 economic uncertainty at home as well as the potential for U.S.-Chinese tensions to disrupt its business.The e-commerce giant forecast sales growth this year of at least 27.5% to more than 650 billion yuan ($91 billion), down from 35% previously and slightly below analysts’ estimates. While it posted a better-than-expected 22% rise in March quarter revenue of 114.3 billion yuan, that marked its slowest pace of expansion on record. Alibaba’s shares slid more than 5% in New York.Online shopping began to bounce back from March, executives said Friday. But the tepid outlook demonstrates the world’s second largest economy has yet to fully shake off Covid-19, with consumers still hesitant about spending on big-ticket items. Asia’s largest corporation is tackling also the rise of rivals such as ByteDance Ltd. and Pinduoduo Inc. And the Tmall operator is going head-to-head with Tencent Holdings Ltd. for internet leadership in everything from online media to payments and cloud computing.Alibaba has lost more than $40 billion of market value since the coronavirus first erupted in January, and now has to grapple with not just an uncertain global economic environment but also any potential fallout from U.S.-Chinese financial tensions. On Friday, executives sought to assuage concerns about a U.S. bill that mandates much closer accounting scrutiny of U.S.-listed Chinese companies and may bar them from American bourses.Chief Financial Officer Maggie Wu said Alibaba’s financial statements have been consistently prepared in accordance with U.S. GAAP accounting measures and were beyond reproach. “The integrity of Alibaba’s financial statements speak for itself, we have been an SEC filer since 2014 and hold ourselves to the highest standard,” she told analysts on a conference call. “We will endeavor to comply with any legislation whose aim is to protect and bring transparency to investors who buy securities on U.S. stock exchanges.”The bigger short-term challenge is in reviving growth: Alibaba’s bread-and-butter customer management or marketing business grew just 3% in the March quarter. Much of that stems from weaker consumer sentiment during the coronavirus-stricken quarter, when total Chinese e-commerce rose just 5.9% or at less than a third of 2019’s pace, according to government data.Rival PDD posted a revenue rise of 44% on Friday, down sharply from 91% in the previous quarter, although that still beat expectations. Its sales and marketing expenses jumped 49%.Alibaba’s net income was 3.2 billion yuan, down 88% from a year ago when it booked an 18.7 billion yuan one-time gain on investments. In February, Alibaba declared a waiver of some service fees for merchants struggling financially during the outbreak on its main direct-to-consumer Tmall platform. In April, the company rolled out a new 10-billion-yuan subsidy program for Tmall users to buy electronics, encroaching on JD.com Inc.’s traditional turf. These initiatives may further compress margins for the June quarter.“The challenging part is for them to achieve the same amount of growth this year,” said Steven Zhu, a Shanghai-based analyst with Pacific Epoch. “Just because they are too big, for the same amount of growth, they need to spend much more effort.”But executives were confident in a gradual e-commerce recovery over the year. Beyond its main business, younger divisions such as its cloud computing arm should buoy its bottom line. That division’s revenue jumped 58% in the quarter.“Despite a challenging quarter due to reduced economic activities in light of the COVID-19 pandemic in China, we achieved our annual revenue guidance,” Wu said in a statement. “Although the pandemic negatively impacted most of our domestic core commerce businesses starting in late January, we have seen a steady recovery since March.”What Bloomberg Intelligence SaysThe company’s businesses most impacted by merchant and logistic disruptions are also its most lucrative, such as retail marketplaces Taobao and Tmall, while faster-growing segments like cloud computing and digital entertainment don’t contribute to profit. Subsidies for users and merchants will add to costs. Alibaba may provide an improved growth outlook for the June quarter given the retreat of the pandemic in China, but the recovery could be gradual as consumption sentiment remains weak.\- Vey-Sern Ling and Tiffany Tam, analystsClick here for the research.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Why JD.com (JD) Isn't Done Growing Earnings Yet
    Zacks

    Why JD.com (JD) Isn't Done Growing Earnings Yet

    If you are looking for a fast-growing stock that is still seeing plenty of opportunities on the horizon, make sure to consider JD.com (JD).

  • Reuters

    NetEase and JD.com set dates for $5 bln Hong Kong listings

    Chinese technology company NetEase plans to carry out a secondary listing on the Hong Kong Stock Exchange on June 11, which will be followed one week later by web retailer JD.com, four sources with direct knowledge of the matter said. The two transactions could raise a combined $5 billion, separate sources said, and the deals would be the largest for Hong Kong's equity capital markets so far this year. JD.com is expected to be the largest of the two deals with the likelihood it will sell 5% of its shares that could raise up to $3 billion, one source said, while NetEase is targeting a transaction of up to $2 billion, another source said.

  • Why JD.com (JD) Stock Might be a Great Pick
    Zacks

    Why JD.com (JD) Stock Might be a Great Pick

    JD.com (JD) has seen solid earnings estimate revision activity over the past month, and belongs to a strong industry as well.

  • ACCESSWIRE

    The Klein Law Firm Reminds Investors of Class Actions on Behalf of Shareholders of BBBY, BIDU and CONN

    NEW YORK, NY / ACCESSWIRE / May 22, 2020 / The Klein Law Firm announces that class action complaints have been filed on behalf of shareholders of the following companies. There is no cost to participate ...

  • Chinese Stocks will Soon Struggle in American Markets
    Motley Fool

    Chinese Stocks will Soon Struggle in American Markets

    A new law working its way through Congress could ban the trading of shares in Chinese companies altogether.

  • Bloomberg

    China’s JD, Netease Aim to List Shares in Hong Kong Next Month

    (Bloomberg) -- Netease Inc. aims to list shares in Hong Kong on June 11 and JD.com Inc. a week after, a person familiar with the matter said, completing two mega stock sales for the city at a time of escalating market volatility.U.S.-listed Netease and No. 2 Chinese online retailer JD hope to gain approval for local debuts during listing-committee hearings on Thursday, the people said, asking not to be identified discussing private matters. JD’s stock sale could raise $2 billion or more to help the e-commerce giant shore up its position in an increasingly competitive home market. The retailer’s June 18 target coincides with its largest annual online sales event.The twin debuts follow Alibaba Group Holding Ltd.’s $13 billion Hong Kong stock sale last year, hailed as a homecoming for Chinese companies and a win for Hong Kong Exchanges & Clearing Ltd., which lost many of the largest tech corporations to U.S. bourses because it didn’t allow dual-class share voting at the time -- a requirement that’s since been relaxed. Netease and JD are also listing at a time of escalating tensions between Washington and Beijing, now spilling over into Chinese companies’ access to U.S. capital markets after the downfall of Luckin Coffee Inc. -- one of the country’s brightest startups.Representatives for JD, Netease and Hong Kong’s exchange declined to comment.Read more: JD Is Said to File for $2 Billion Hong Kong Second Listing Shares in U.S.-listed Chinese companies have see-sawed since senators overwhelmingly approved legislation Wednesday that could bar the country’s firms from American exchanges. The decision cast a pall of uncertainty over hundreds of billions of dollars of shares in some of the world’s best-known companies. China this week also moved towards national security legislation for Hong Kong, sowing panic in the city’s $5 trillion stock market.Read more: Hong Kong Stocks Crash On New Concern Over City’s FutureEven if the delisting bill is eventually approved, the impact on China’s largest tech corporations remains unclear. American lawmakers have long raised red flags over the billions of dollars flowing into the Asian country’s biggest firms, much of it from pension funds and college endowments in search of fat investment returns. Alarm has grown in particular that American money is bankrolling efforts by the country’s technology giants to develop leading positions in everything from artificial intelligence and autonomous driving to internet data collection.Baidu Inc. founder Robin Li told the state-backed China Daily the company was concerned about heightened scrutiny of Chinese companies and was constantly exploring options including a secondary listing in Hong Kong or elsewhere.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.