The following article is from: Shan Heng Securities Strategist   Albert

Edited by: Well Link International Securities

Baidu (9888) is one of China's major artificial intelligence technology companies and is listed on the Hong Kong stock market. In theory, the group can attract regional investors interested in the development of China's international artificial intelligence technology.

However, the actual stock performance in 2023 and the first half of 2024 is expected to be weaker than anticipated. Some may think that many factors have affected Baidu's artificial intelligence development.

Recently, the focus of the stock market has shifted to the development of Baidu's autonomous driving technology. Baidu has launched an unmanned taxi service (i.e., robot taxis) involving autonomous driving technology.

Some Chinese media believe that autonomous driving services may become a new growth driver for Baidu.

At the same time, it seems that some stock investors are willing to spend more time observing the development of this driving technology.

In addition to road safety factors, some people have also realized the employment market issues.

When most taxi and ride-hailing services adopt autonomous driving technology, it may lead to unemployment issues.

On July 15, 2024, Baidu's stock price fell by 5.6% (93.95 Hong Kong dollars). Due to the autonomous driving factor, the stock price once rose from 83.9 Hong Kong dollars to 99.5 Hong Kong dollars between July 2 and July 12.

It seems that some investors may want to wait a little longer before making further conclusions about the autonomous driving factor.