Baidu vs 360 Capital Which Should You Buy?

Baidu and 360 Capital are two leading Chinese technology companies with their stocks being actively traded in the stock market. Baidu is a prominent internet company known for its search engine and artificial intelligence technologies, while 360 Capital is a diversified investment firm specializing in technology, media, and telecommunications sectors. Both companies have seen significant growth in recent years, but their stock performance and market competitiveness provide investors with diverse opportunities for investment and portfolio diversification.

Baidu or 360 Capital?

When comparing Baidu and 360 Capital, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Baidu and 360 Capital.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Baidu has a dividend yield of -%, while 360 Capital has a dividend yield of 5.83%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Baidu reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, 360 Capital reports a 5-year dividend growth of -31.75% year and a payout ratio of 3.85%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Baidu P/E ratio at 8.99 and 360 Capital's P/E ratio at 0.58. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Baidu P/B ratio is 0.63 while 360 Capital's P/B ratio is 0.80.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Baidu has seen a 5-year revenue growth of 8.97%, while 360 Capital's is -0.29%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Baidu's ROE at 7.30% and 360 Capital's ROE at 140.18%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $89.26 for Baidu and A$0.59 for 360 Capital. Over the past year, Baidu's prices ranged from $78.95 to $120.25, with a yearly change of 52.31%. 360 Capital's prices fluctuated between A$0.41 and A$0.67, with a yearly change of 63.41%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.