Traders Snap Up High Volume of Baidu Call Options

On a recent Thursday, an unusual spike in options trading was observed for Baidu, Inc. (NASDAQ:BIDU), as investors snapped up 56,829 call options, marking a significant jump of about 63% from the average volume of 34,809 call options typically traded daily. This surge highlights increased trader interest in Baidu's stock market movements.

Baidu's Market Position

The stock began trading at $110.59 on the following Friday. Baidu's 50-day simple moving average lingered around $109.98, while the 200-day average was noted at $119.43. Its one-year performance spanned from a low of $97.51 to a high of $160.53. Baidu's financials were solid, with a quick ratio and a current ratio both at 2.82, and its debt-to-equity ratio was modest at 0.23.

Analyst Outlook on Baidu

Several research analysts have recently given their outlook on Baidu's shares. Notably, Nomura Instinet upgraded Baidu to a 'buy' rating, assigning a target price of $145.00. Barclays lowered their target but maintained an 'overweight' rating with a new target of $138.00. Benchmark and The Goldman Sachs Group both continued to endorse a 'buy' stance, although Goldman Sachs trimmed their target from $181.00 to $174.00. Susquehanna also reduced their target but remained 'positive' on Baidu with a target of $150.00. The stock currently enjoys a 'Moderate Buy' consensus rating and an average target price of $177.00, as per data from MarketBeat.com.

Institutional Investor Activity

Baidu has also seen adjustments in the stakes of institutional investors and hedge funds. Several such investors have either initiated or increased their investments in the company, with transactions ranging in value from approximately $25,000 to $48,000, reflecting a continued interest from institutional investors.

About Baidu

Baidu, Inc. stands as a leading provider of internet search services in China. Its diversified offerings include the Baidu App, Baidu Search, and the Baidu Feed, which delivers a personalized timeline to users based on their interests. The company is also involved in health-related search services and operates Haokan, a short video app, among other services. Baidu is confirmed to be a key player in China's internet search sector.

Baidu, Options, Trading