NEW YORK (TheStreet) -- Analysts upgraded Chinese Internet giant Baidu (BIDU - Get Report) Friday morning after the company announced better-than-expected quarterly profits. The calls fueled bullishness on StockTwits, where most investors ignored the slight revenue miss and focused on the company's growth.
Baidu stock hit $166.50 just after the opening bell today, but has settled back down to the $161 range at 10:45 a.m., still up about 1% for the day but down 9.9% year to date.
$BIDU Revenue accelerated for 3rd consecutive quarter on back of core search strength as well as acquisitions
-- Kinji Watanabe (@Kinji) Apr. 25 at 03:37 AM
Goldman Sachs analysts hiked their price target $10 to $225 and reiterated their buy rating on the stock. Stifel Nicolaus analysts also reiterated their buy rating and $215 target on Friday. Deutsche Bank analysts upgraded the stock from a hold to a buy.
$bidu upgraded to Buy from Hold at Deutsche Bank Deutsche Bank upgraded Baidu to Buy with a $229 ...-- michael dell (@ronin245) Apr. 25 at 07:15 AM
Goldman analyst Piyush Mubayi attributed the upgrade, in part, to Baidu's second-quarter guidance. The company expects to generate $1.9 billion to $1.95 billion in revenue this quarter, a 56% increase from the same period a year ago. Goldman's analyst also said that marketing spending should improve as Baidu moves from building mode to branding.
For the prior quarter, Baidu reported earnings per share of $1.24, excluding stock-based compensation and some other items. Analysts had expected 95 cents. Revenues of $1.53 billion fell about $10 million short of consensus estimates. Baidu's investments in mobile supported top-line growth.
"Baidu ended Q4 with 14 mobile apps, each with more than 100 million users. Those apps contributed 20% of revenue in Q4" $BIDU-- Derald Muniz (@1nvestor) Apr. 24 at 08:41 PM
The stock opened more than 3.6% higher Friday morning. Sentiment on the stock is 93% bullish, according to StockTwits analytics.
At the time of publication, the author held no positions in any of the stocks mentioned.
This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.