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BIDU vs. WMG: A Head-to-Head Stock Comparison

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Here’s a clear look at BIDU and WMG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

BIDU trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, WMG is a standard domestic listing.

SymbolBIDUWMG
Company NameBaidu, Inc.Warner Music Group Corp.
CountryChinaUnited States
GICS SectorCommunication ServicesCommunication Services
GICS IndustryInteractive Media & ServicesEntertainment
Market Capitalization30.75 billion USD16.73 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateAugust 5, 2005June 3, 2020
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of BIDU and WMG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

BIDU vs. WMG: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolBIDUWMG
5-Day Price Return4.12%3.02%
13-Week Price Return-0.22%16.78%
26-Week Price Return2.54%1.07%
52-Week Price Return6.85%16.65%
Month-to-Date Return3.64%9.67%
Year-to-Date Return8.02%3.52%
10-Day Avg. Volume3.65M2.90M
3-Month Avg. Volume3.76M1.76M
3-Month Volatility36.87%23.78%
Beta0.321.31

Profitability

Return on Equity (TTM)

BIDU

9.73%

Interactive Media & Services Industry

Max
49.37%
Q3
29.69%
Median
9.73%
Q1
2.47%
Min
-26.19%

BIDU’s Return on Equity of 9.73% is on par with the norm for the Interactive Media & Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

WMG

85.57%

Entertainment Industry

Max
42.50%
Q3
22.75%
Median
12.88%
Q1
7.15%
Min
-6.84%

WMG’s Return on Equity of 85.57% is exceptionally high, placing it well beyond the typical range for the Entertainment industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

BIDU vs. WMG: A comparison of their Return on Equity (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Net Profit Margin (TTM)

BIDU

18.98%

Interactive Media & Services Industry

Max
50.41%
Q3
29.38%
Median
17.14%
Q1
3.13%
Min
-30.88%

BIDU’s Net Profit Margin of 18.98% is aligned with the median group of its peers in the Interactive Media & Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

WMG

7.14%

Entertainment Industry

Max
45.25%
Q3
23.93%
Median
14.60%
Q1
4.89%
Min
-22.94%

WMG’s Net Profit Margin of 7.14% is aligned with the median group of its peers in the Entertainment industry. This indicates its ability to convert revenue into profit is typical for the sector.

BIDU vs. WMG: A comparison of their Net Profit Margin (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

BIDU

15.14%

Interactive Media & Services Industry

Max
65.96%
Q3
36.95%
Median
18.60%
Q1
5.69%
Min
-18.13%

BIDU’s Operating Profit Margin of 15.14% is around the midpoint for the Interactive Media & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

WMG

11.56%

Entertainment Industry

Max
46.83%
Q3
28.87%
Median
15.26%
Q1
8.95%
Min
-5.53%

WMG’s Operating Profit Margin of 11.56% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.

BIDU vs. WMG: A comparison of their Operating Profit Margin (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Profitability at a Glance

SymbolBIDUWMG
Return on Equity (TTM)9.73%85.57%
Return on Assets (TTM)5.94%4.93%
Net Profit Margin (TTM)18.98%7.14%
Operating Profit Margin (TTM)15.14%11.56%
Gross Profit Margin (TTM)49.06%46.81%

Financial Strength

Current Ratio (MRQ)

BIDU

2.29

Interactive Media & Services Industry

Max
4.30
Q3
2.68
Median
1.96
Q1
1.21
Min
0.45

BIDU’s Current Ratio of 2.29 aligns with the median group of the Interactive Media & Services industry, indicating that its short-term liquidity is in line with its sector peers.

WMG

0.66

Entertainment Industry

Max
6.80
Q3
3.77
Median
1.87
Q1
0.86
Min
0.39

WMG’s Current Ratio of 0.66 falls into the lower quartile for the Entertainment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

BIDU vs. WMG: A comparison of their Current Ratio (MRQ) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

BIDU

0.35

Interactive Media & Services Industry

Max
0.90
Q3
0.47
Median
0.16
Q1
0.03
Min
0.00

BIDU’s Debt-to-Equity Ratio of 0.35 is typical for the Interactive Media & Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

WMG

7.57

Entertainment Industry

Max
1.65
Q3
0.71
Median
0.14
Q1
0.04
Min
0.00

With a Debt-to-Equity Ratio of 7.57, WMG operates with exceptionally high leverage compared to the Entertainment industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

BIDU vs. WMG: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

BIDU

--

Interactive Media & Services Industry

Max
67.60
Q3
29.41
Median
6.36
Q1
-0.87
Min
-37.02

Interest Coverage Ratio data for BIDU is currently unavailable.

WMG

4.73

Entertainment Industry

Max
62.11
Q3
31.19
Median
7.50
Q1
2.02
Min
-6.33

WMG’s Interest Coverage Ratio of 4.73 is positioned comfortably within the norm for the Entertainment industry, indicating a standard and healthy capacity to cover its interest payments.

BIDU vs. WMG: A comparison of their Interest Coverage Ratio (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolBIDUWMG
Current Ratio (MRQ)2.290.66
Quick Ratio (MRQ)2.290.47
Debt-to-Equity Ratio (MRQ)0.357.57
Interest Coverage Ratio (TTM)--4.73

Growth

Revenue Growth

BIDU vs. WMG: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

BIDU vs. WMG: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

BIDU

0.00%

Interactive Media & Services Industry

Max
1.87%
Q3
1.08%
Median
0.00%
Q1
0.00%
Min
0.00%

BIDU currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

WMG

2.39%

Entertainment Industry

Max
2.54%
Q3
1.29%
Median
0.61%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.39%, WMG offers a more attractive income stream than most of its peers in the Entertainment industry, signaling a strong commitment to shareholder returns.

BIDU vs. WMG: A comparison of their Dividend Yield (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

BIDU

0.00%

Interactive Media & Services Industry

Max
87.35%
Q3
38.67%
Median
0.00%
Q1
0.00%
Min
0.00%

BIDU has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

WMG

82.30%

Entertainment Industry

Max
82.30%
Q3
45.76%
Median
29.16%
Q1
0.00%
Min
0.00%

WMG’s Dividend Payout Ratio of 82.30% is in the upper quartile for the Entertainment industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

BIDU vs. WMG: A comparison of their Dividend Payout Ratio (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Dividend at a Glance

SymbolBIDUWMG
Dividend Yield (TTM)0.00%2.39%
Dividend Payout Ratio (TTM)0.00%82.30%

Valuation

Price-to-Earnings Ratio (TTM)

BIDU

8.53

Interactive Media & Services Industry

Max
87.79
Q3
54.33
Median
25.46
Q1
18.76
Min
6.96

In the lower quartile for the Interactive Media & Services industry, BIDU’s P/E Ratio of 8.53 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

WMG

34.46

Entertainment Industry

Max
53.51
Q3
45.31
Median
33.16
Q1
18.21
Min
3.89

WMG’s P/E Ratio of 34.46 is within the middle range for the Entertainment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

BIDU vs. WMG: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

BIDU

1.62

Interactive Media & Services Industry

Max
19.01
Q3
12.39
Median
6.49
Q1
1.94
Min
0.22

In the lower quartile for the Interactive Media & Services industry, BIDU’s P/S Ratio of 1.62 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

WMG

2.46

Entertainment Industry

Max
12.81
Q3
7.20
Median
4.68
Q1
3.32
Min
0.79

In the lower quartile for the Entertainment industry, WMG’s P/S Ratio of 2.46 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

BIDU vs. WMG: A comparison of their Price-to-Sales Ratio (TTM) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

BIDU

0.84

Interactive Media & Services Industry

Max
11.66
Q3
7.17
Median
4.17
Q1
2.80
Min
0.12

BIDU’s P/B Ratio of 0.84 is in the lower quartile for the Interactive Media & Services industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

WMG

28.77

Entertainment Industry

Max
17.11
Q3
8.38
Median
5.24
Q1
2.18
Min
0.67

At 28.77, WMG’s P/B Ratio is at an extreme premium to the Entertainment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

BIDU vs. WMG: A comparison of their Price-to-Book Ratio (MRQ) against their respective Interactive Media & Services and Entertainment industry benchmarks.

Valuation at a Glance

SymbolBIDUWMG
Price-to-Earnings Ratio (TTM)8.5334.46
Price-to-Sales Ratio (TTM)1.622.46
Price-to-Book Ratio (MRQ)0.8428.77
Price-to-Free Cash Flow Ratio (TTM)10.2226.81