Is Baidu.com, Inc. (ADR) (BIDU) Destined for Greatness?

One thing on Baidu’s side is its ability to diversify, and its interest in doing so. A few days before the report, investors learned that Baidu and France Telecom SA (ADR) (NYSE:FTE) would be pairing up to develop a mobile browser dedicated to African and Middle Eastern emerging markets. Expanding into these underserved areas makes perfect sense for Baidu, which has unimpeachable experience at growing a digital business in the world’s most important emerging market. Baidu also launched a site and app for comparison shopping earlier this month, which seeks to claim market share from e-commerce leader Alibaba.

As the Chinese market leader, Baidu has fended off Sohu.com Inc. (NASDAQ:SOHU) for years in search, and Qihoo 360 Technology Co Ltd (NYSE:QIHU)‘s recently released competitive search engine doesn’t seem to have made a dent (yet). However, that may eventually change, as the two upstarts may be working in concert to take down Baidu. If the history of Google’s stateside competition is any indication of what’s to come from this full-court press, then Baidu may not have that much to worry about. A search engine at critical mass is almost impossible to dislodge without providing a far superior user experience.

Putting the pieces together
Today, Baidu has many of the qualities that make up a great stock, but no stock is truly perfect. Digging deeper can help you uncover the answers you need to make a great buy — or to stay away from a stock that’s going nowhere.

The article Is Baidu Destined for Greatness? originally appeared on Fool.com and is written by Alex Planes.

Fool contributor Alex Planes holds no financial position in any company mentioned here. Add him on Google+ or follow him on Twitter @TMFBiggles for more insight into markets, history, and technology.The Motley Fool recommends Baidu, France Telecom, Google, and Sohu.com. The Motley Fool owns shares of Baidu, France Telecom, and Google.

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