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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (64010)	5/11/2020 11:37:01 PM
From: Elroy	Respond to of 78973

BIDU. I'm looking again at it. BIDU buys storage systems from SIMO. I'm not sure what BIDU even does, but they are one of SIMO's two large hyperscale Chinese customers, the other being the larger customer Ali Babba.

To: Paul Senior who wrote (64010)	5/12/2020 12:59:27 PM
From: Madharry	Respond to of 78973

BIDU fraud issues aside i think bidu has a lot going for it. however, its all clouded by sino usa friction. on paper the company looks ridiculously cheap but there seem to be a fair number of companies that once they lose their monopolistic position in a business just cant compete. I made one speculation in a the largest brazilian payment processor which lost its mononpolistic position but was still the dominant player in brazil. the stock had drop over 2/3s of its value after losing its monopoly and after i bought it is managed to lose another 2/3s of its valuation. I read the latest transcript of the conference call and it seemed incoherent. My longwinded point is that BIDU is probably so cheap for a reason. If it develop as high margin new product the share price will soar but right now i think its being looked at as a company with a diminishing market share in search and nothing else but maybe cloud is profitable. for myself there seem to be so many bargains around domestically that i dont need the need to take the chance on bidu right now especially with the fraud allegations surrounding IQ and the potential usa / china friction.