San Diego, October 1, 2026 / PRNewswire / -- Shareholder Rights Law Firm Robbins LLP reminds investors that a class action has been filed on behalf of individuals and entities who purchased or otherwise acquired securities (including call options) of Baidu Company (Baidu, Inc, NASDAQ : BIDU) between November 18, 2025, and August 17, 2026 (including both dates), hereinafter referred to as the "class action period." Baidu is a Chinese technology company that operates China's most popular internet search engine.
The complaint alleges that Baidu has exaggerated the ability of its AI business to mitigate the rapid decline of its traditional online marketing business.
Robbins LLP indicates that investors who have suffered significant losses during the class-action period may be eligible to participate in the lawsuit and should contact the firm by the deadline of November 13, 2026, set by the lead plaintiff.
Why was Baidu sued?
According to the lawsuit, online marketing services are Baidu's core traditional business, accounting for approximately 53.1% of its total revenue in the third quarter of 2025. However, revenue from online marketing services decreased by 17.6% in the third quarter of 2025 compared to the same period in 2024. Nevertheless, Baidu assured investors that its new core AI driven businesses have and will continue to significantly mitigate the impact of the decline in online marketing services.
The complaint alleges that during the class-action period, the defendant did not disclose to investors:
- The company exaggerated the ability of its AI business to mitigate the rapid decline of traditional online marketing services;
- Therefore, it is quite likely that the company's revenue will decline;
- Therefore, the defendant's positive statements regarding the company's business, operations, and prospects are significantly misleading and/or lack reasonable basis.
Why did the stock price of __BJW_KEEP_00001 fall?
The complaint states that on February 26, 2026, Baidu announced its financial results for the fourth quarter and the full year of 2025, revealing that total revenue for the fourth quarter decreased by more than 4% year-on-year to 32.74 billion yuan (4.68 billion US dollars); total annual revenue decreased by more than 3% year-on-year to 129.079 billion yuan (18.458 billion US dollars). However, Baidu's management informed investors that its " AI driver business" grew by 48% year-on-year in fiscal year 2025, reaching 40 billion yuan, which mitigated the impact of this transformation. Following the announcement, the stock price of Baidu's American Depository Receipts ( ADS ) fell by 7.50 US dollars per share on February 26, 2026, a decrease of 5.65%, closing at 125.15 US dollars per share.
Subsequently, on August 18, 2026, Baidu announced its financial results for the second quarter of 2026, revealing that the revenue from its general business decreased by 4% year-on-year to 25.2 billion yuan (3.71 billion US dollars); among this, the revenue from traditional business decreased by 23% year-on-year to 10.4 billion yuan; and the total revenue from online marketing services decreased by 19% year-on-year to 13.1 billion yuan. The lawsuit specifically pointed out that Baidu's core AI driven business saw a quarter-on-quarter decline of 8% to 12.5 billion yuan (1.86 billion US dollars); its year-on-year growth rate also slowed from 49% in the first quarter of 2026 to 25%; its largest component, AI cloud infrastructure revenue, decreased by 17% quarter-on-quarter, from 8.8 billion yuan to 7.3 billion yuan. After the announcement, Baidu's ADS stock fell by 13.25 US dollars per share on August 18, 2026, a decrease of 12.73%, closing at 90.87 US dollars.
Who may be eligible to participate in the Baidu class action?
This lawsuit is intended to represent investors who purchased or otherwise acquired securities of Baidu Company between November 18, 2025, and August 17, 2026. Investors who suffered losses during this period may have relevant legal rights under the U.S. Federal Securities Laws.
What is a lead plaintiff?
The lead plaintiff is an investor designated by the court to represent the interests of all collective members throughout the litigation process. Shareholders who intend to take the lead in this class action should contact Robbins LLP by November 13, 2026, the deadline for the lead plaintiff, to obtain relevant information.
Even if one does not serve as the lead plaintiff, it does not affect the potential for sharing in any compensation. If the case continues to progress and is ultimately resolved successfully, investors who did not apply for appointment can still participate as absent collective members.
Is there a fee involved for participation?
Not required. Robbins LLP indicates that it represents investors on a risk agency fee basis.
Why choose Robbins LLP?
Robbins LLP indicates that, as a recognized leader in the field of shareholder rights litigation, the firm has represented clients in securities fraud and shareholder derivative litigation cases, helping shareholders to recover over $2 billion in value and achieving some of the largest compensation outcomes in the history of shareholder derivative litigation.
Robbins LLP Co-founder Brian J. Robbins states: "The company has an obligation to provide investors with complete and accurate information so that the market can operate fairly and efficiently."
If you wish to receive notifications when a class action against Baidu reaches a settlement, or to get free alerts when there is improper behavior by corporate executives, Robbins LLP indicates that investors can register through Stock Watch.
Contact Robbins LLP
Investors who wish to learn more about the class-action lawsuit regarding Baidu's securities can submit inquiries, send emails to attorneys Aaron Dumas, Jr, or contact Robbins LLP by calling (800) 350-6003.
Lawyer advertisement. Past results do not guarantee similar outcomes.
