Why Are Chinese Stocks BIDU, PDD, TAL, EDU Surging Today?
Chinese tech stocks are rising as the threat of delisting recedes, amid strong earnings from Baidu (NASDAQ: BIDU ) and Pinduoduo (NASDAQ: PDD ). A tentative deal on U.S. regulators gaining access to the audits of Chinese companies listed in the U.S. was the main catalyst. The agreement means Chinese stocks may now be valued more on results, rather than just political tensions. If China is recovering from its Covid-19 lockdowns many shares will be getting a second look. The government of President Xi Jinping is also trying to goose growth ahead of his October re-election. Chinese Stocks: Not All Junk The shopping site Pinduoduo was the star among Chinese Stocks today. It delivered earnings of $1.33 billion on revenue of $4.7 billion for its most recent quarter. Both figures handily beat analyst estimates. Bank of America raised its price target on PDD to $89. It opened on Aug. 30 at $68. The shares are now up 20% on the year. Baidu had a net income of $543 million, $1.49|share under GAAP, on revenue of $4.4 billion.
Why Are Chinese Stocks BIDU, PDD, TAL, EDU Surging Today?
Chinese tech stocks are rising as the threat of delisting recedes, amid strong earnings from Baidu (NASDAQ: BIDU ) and Pinduoduo (NASDAQ: PDD ). A tentative deal on U.S. regulators gaining access to the audits of Chinese companies listed in the U.S. was the main catalyst. The agreement means Chinese stocks may now be valued more on results, rather than just political tensions. If China is recovering from its Covid-19 lockdowns many shares will be getting a second look. The government of President Xi Jinping is also trying to goose growth ahead of his October re-election. Chinese Stocks: Not All Junk The shopping site Pinduoduo was the star among Chinese Stocks today. It delivered earnings of $1.33 billion on revenue of $4.7 billion for its most recent quarter. Both figures handily beat analyst estimates. Bank of America raised its price target on PDD to $89. It opened on Aug. 30 at $68. The shares are now up 20% on the year. Baidu had a net income of $543 million, $1.49|share under GAAP, on revenue of $4.4 billion.