Baidu will feel a financial pinch following medical forum scandal, warns analyst
Summit Research analyst Henry Guo has lowered his price target on Baidu, citing the recent scandal which saw Baidu criticised by NGOs for selling access to medical forums on Tieba to private businesses.
Guo also cited increased competition for ad spend from the likes of Tencent as also having a major impact in his decision to lower his expectations.
“Competing advertising platforms have gained market share from Baidu, including Tencent Holdings’ GDT, Toutiao.com and other search engines like Qihoo 360 Technology and Sohu-owned Sogou,” said Guo.
He said he expected a 31 per cent year-over-year growth for Baidu, with its core search business Read full story ›
Source: The Drum
