Baidu, Inc. (BIDU) vs Zillow Group, Inc. (ZG)

Baidu, Inc. and Zillow Group, Inc. are both Internet Content & Information companies. Baidu, Inc. is the larger, with a market value of $24.1B against $6.4B — 3.8× the size. Baidu, Inc. has negative trailing earnings, so its P/E is not meaningful; Zillow Group, Inc. trades at 133×. Zillow Group, Inc. grew revenue faster over the last twelve months: 17.7% against 2.43%. Zillow Group, Inc. has the higher net margin (1.96% vs −2.38%) and the higher return on invested capital (0.18% vs −2.17%). Across the 20 metrics below, Zillow Group, Inc. leads on 14 and Baidu, Inc. on 6.

Valuation

Metric BIDU ZG Internet Content & Information median
P/E n/m 133.23 10.24
P/S 1.59 2.38 0.87
P/B 0.75 1.55 1.32
Price to free cash flow 9.84 30.36 8.85
EV/EBITDA n/m 22.72 8.86
EV/Sales 0.91 2.47 1.15
Earnings yield (1.74%) 0.75% (1.58%)
Free cash flow yield 10.16% 3.29% 2.32%

Profitability

Metric BIDU ZG Internet Content & Information median
Gross margin 40.92% 72.88% 66.84%
Operating margin (5.36%) 0.43% (3.41%)
Net margin (2.38%) 1.96% (3.02%)
Free cash flow margin 0.00% 7.83% 1.75%
Return on equity 0.00% 1.21% 0.00%
Return on assets (0.67%) 1.03% (0.36%)
Return on invested capital (2.17%) 0.18% 0.00%

Growth

Metric BIDU ZG Internet Content & Information median
Revenue growth (TTM) 2.43% 17.67% 2.65%
EPS growth (last fiscal year) (74.82%) 118.75% —
Revenue growth, 5-year CAGR 2.38% 9.73% 9.73%
Net income growth, 5-year CAGR (25.34%) 0.00% 0.00%

Health

Metric BIDU ZG Internet Content & Information median
Debt to equity 0.29 0.11 0.01
Current ratio 2.33 1.92 1.82
Net debt to EBITDA (2.46) (3.61) (0.48)

Dividend

Metric BIDU ZG Internet Content & Information median
Dividend yield — — 3.19%
Payout ratio 0.00 0.00 0.00

Size

Metric BIDU ZG Internet Content & Information median
Market cap 24.13b 6.36b 283.68m

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