Baidu stock
I know the market has been tanking because of the trade war, but i invested quite a lot in Baidu more than a year back and I'm like 60% down over all. Wtf is wrong with this company? The stock just keeps going down and down. Should I hang on to it, or should I just sell it and take the losses?
All stocks plunged as a result. It’s typical. No need to panic right now. Hold it for long term (then sell once it’s back). I personally have sold a couple chinese stocks because I find them risky. I have IQ left because it’s in negative.
Yeah, but it's been going down since last May. My average price per stock is around $240 and it's trading at $100 today. Is there really a chance for it to bounce back above $200?
I don’t know. Best you can do is hold it. Unless you really want to take a loss (because you really to reclaim the cash perhaps for other investments) then you can write off loss up to $3k irrc each year and forward. But consult with your accountant. I’d wait out a year at least imo.
BIDU is a shit company. The CEO is incompetent, yet don’t want to give away the control. Lots of drama for the last few years. It will go down to the sink regardless of trade war or not.
Chinese companies have lower standards of disclosure and corporate governance. The government also controls many aspects of their destiny. Stay away.
Asking for advice on Chinese stocks on an American forum is not good practice. I would hold onto Chinese tech stocks. They are cheaper and the economy there is growing at double the rate even with the trade war, so you're likely to get a better return than if you put it into US tech stocks.
Their has economy has slowed down. It's not growing as fast as it was.
Yeah, so? Did you read what I wrote? It's still growing at double the US. In other words if you invested in a Chinese index fund versus the US, the Chinese one will have much higher returns (not double, relation non linear). And if you invested in a cross section of their tech sector, one of the fastest growing ones, you can expect to get better time averaged returns than holding US tech sector stocks.