Baidu Inc. (BIDU): Today's Featured Internet Winner

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Baidu ( BIDU) pushed the Internet industry higher today making it today's featured internet winner. The industry as a whole closed the day up 0.4%. By the end of trading, Baidu rose $2.68 (2.0%) to $135.67 on average volume. Throughout the day, 5,142,365 shares of Baidu exchanged hands as compared to its average daily volume of 4,043,200 shares. The stock ranged in a price between $132.62-$136.69 after having opened the day at $133.28 as compared to the previous trading day's close of $132.99. Other companies within the Internet industry that increased today were: LiveDeal ( LIVE), up 23.0%, Remark Media ( MARK), up 10.9%, ChinaNet Online Holdings ( CNET), up 9.6% and Yelp ( YELP), up 5.9%.

Baidu, Inc. provides Chinese language Internet search services. It also offers a Chinese language search platform for businesses to reach their customers. Baidu has a market cap of $47.0 billion and is part of the technology sector. Shares are up 32.6% year to date as of the close of trading on Thursday. Currently there are 7 analysts that rate Baidu a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates Baidu as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins, solid stock price performance, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the negative front, Deltathree ( DDDC), down 10.0%, InterXion Holding N.V ( INXN), down 4.8%, Innodata ( INOD), down 4.1% and Zillow ( Z), down 3.7% , were all laggards within the internet industry with Equinix ( EQIX) being today's internet industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the internet industry could consider First Trust Dow Jones Internet Idx ( FDN) while those bearish on the internet industry could consider ProShares Ultra Short Technology ( REW).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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