9888.HK · Intrinsic value
Is Baidu, Inc. (9888.HK) overvalued or undervalued?
Baidu, Inc. (9888.HK) trades at the delayed market price of HK$79.45 a share. That price already implies revenue growth of −6.7% a year for 5 years. TickerWorth's fair value is HK$125.89 a share (37% below fair value), as of Oct 19, 2026. It is a model estimate, and every input behind it is sourced below.
Model by Miraaj Patel · generated from market data · Updated Oct 19, 2026 · How these pages are made
Is 9888.HK undervalued?
- Fair value
- HK$125.89
- Market price
- HK$79.45
- Upside to fair value
- +58.5%
- Verdict
- 37% below fair value
Reverse DCF: Today's price implies revenue growth of −6.7% a year for 5 years; our model assumes −0.1% a year on average over the same horizon.
What is 9888.HK's TickerWorth Score?
Middle of the pack — real strengths and real weaknesses
Compared with Communication Services companies in Hong Kong
Its strongest point: trades below our estimate of what it's worth. Its weakest: growth is slow or negative.
- Value · 56 of 100
Cheaper than 56% of Communication Services companies worldwide
- Price vs worth · 97 of 100
- Quality · 20 of 100
More profitable than 20% of Communication Services companies worldwide
- Financial health · 81 of 100
Financially stronger than 81% of Communication Services companies worldwide
- Growth · 8 of 100
Growing faster than 8% of Communication Services companies worldwide
- Momentum · 10 of 100
Outperformed 10% of Communication Services companies worldwide over the past year
Confidence: High confidence · Scored
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9888.HK DCF valuation: where the gap comes from
At a recent price of 79.45, Baidu, Inc. (9888.HK) trades 37% below TickerWorth's blended fair value of 125.89 per share — a discounted-cash-flow model cross-checked against peer multiples and asset value — meaning the market currently prices 9888.HK undervalued vs our estimate of what the business is intrinsically worth. Our fair value sits above the market, an implied +58.5% move to close the gap if the business performs in line with our assumptions. This is an educational model, not a price target or a recommendation — the value moves with the inputs, which you can test yourself using the WACC slider below.
Read the full reasoning
One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values 9888.HK at about 103.96 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.
The valuation discounts Baidu, Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 7.2%, with a long-run terminal growth rate of 2.5%. About 80% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly -6.7% annual revenue growth for 9888.HK. Our base case instead compounds to about -0.1% a year over the same forecast, so the market is pricing in slower growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, 9888.HK's modeled DCF value ranges from about 77.49 to 191.48 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Baidu, Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of 9888.HK's intrinsic value. Figures update as new filings and prices come in.
Every input behind 9888.HK's DCF
| Input | Value |
|---|---|
| Base-year revenueLive feed — totalRevenue (TTM) | 149,237,470,000 |
| Base EBIT marginComputed — trailing operatingMargins, held roughly flat | 9.7% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | -4% → -2% → -0% → 2% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 5.2% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 0.58 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesLive feed — sharesOutstanding | 2,723M |
| Market priceLast known price · as of 2026-10-19 13:57 UTC | 79.45 |
Change 9888.HK's assumptions
The discount-rate dial and the editable model
ProChange growth, margin and WACC yourself — Pro (7-day free trial, card required).
What does Baidu, Inc. do?
What does it do?
Baidu, Inc. provides internet content, value-added telecommunication-based, internet map, and online audio and video services in the People's Republic of China. It operates in the Internet Content & Information industry (Communication Services sector), headquartered in China. The company employs roughly 33,500 people.
How does it make money?
The business turns $127.3B in annual revenue into profit. Out of every $100 of sales, about $10 is left as operating profit (operating margin of 9.7%), after a 41% gross margin on the products/services it sells. After all costs, taxes and interest, -2.9% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks solid: carries modest debt (0.4× equity), comfortably covers its short-term bills (2.3× current ratio), and is currently lossmaking.
9888.HK insider trading
Insider filings are available for US-listed companies only.
Common questions
What is 9888.HK's intrinsic value?
TickerWorth's blended fair value for Baidu, Inc. (9888.HK) is 125.89 per share, versus a market price of 79.45 (37% below fair value).
Is 9888.HK overvalued or undervalued?
On our blended fair value 9888.HK looks undervalued vs fair value at 79.45. This is an educational estimate, not advice.
What discount rate is used for 9888.HK?
A WACC of 7.2% and a terminal growth rate of 2.5%.
Is Baidu stock undervalued?
TickerWorth's fair value for Baidu, Inc. (9888.HK) is HK$125.89 against a market price of HK$79.45. Our read: 37% below fair value. This is a model estimate, not investment advice.
Baidu (9888.HK) DCF valuation and fair value
Our fair value for Baidu, Inc. (9888.HK) is HK$125.89, built on a 7.2% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Baidu stock?
Today's price implies revenue growth of −6.7% a year for 5 years; our model assumes −0.1% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of HK$79.45. A model estimate, not investment advice.
Baidu (9888.HK) insider trading
We have no recent SEC Form 4 insider filings on file for Baidu, Inc. (9888.HK). Form 4 covers US-listed companies only.
More stocks below our fair value
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.