Friday, August 26, 2005

The Seattle Times: Flashy Baidu debut fades

The Seattle Times: Flashy Baidu debut fades: "Baidu.com's bubble has already deflated remarkably, less than three weeks after its U.S. stock-market debut.
The Chinese Internet search engine's shares soared 354 percent to $122.54 on their first day of trading Aug. 5, a rise that, for some, triggered uncomfortable memories of the late 1990s go-go days.
The stock's ascent, which peaked at $153.98 during the second day of trading, reflected investors' love affair with Baidu's much larger U.S. cousin, Google, and outsize hopes for China's consumer class and budding Internet industry.
The enthusiasm is already waning. Baidu's Nasdaq-listed American depositary shares are worth little more than half their Aug. 8 peak value, based on yesterday's closing price of $79. The stock went public at $27"
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