Baidu's Kunlunxin Likely to Complete IPO by End of 1H -- Market Talk

Dow Jones01-05

0403 GMT - Baidu's artificial-intelligence chip unit Kunlunxin will likely complete its Hong Kong IPO by the end of 1H, Nomura analysts say in a research note. Given the performance of recently listed Chinese chip designers, Kunlunxin's IPO will also likely be well-received by investors, they say. Between now and the completion of the IPO, Baidu's stock could be traded as a proxy for Kunlunxin, one of Baidu's most valuable assets, they note. Nomura estimates Kunlunxin's revenue will hit 6.6 billion yuan in 2026, driven by growing demand for chips used for AI model inferencing. Nomura values Kunlunxin at US$32 billion, based on 40% of Chinese peer Cambricon Technologies' market cap. Nomura raises Baidu's ADR target price to US$178.00 from US$140.00. Baidu's ADR last ended at US$150.30. (sherry.qin@wsj.com)

(END) Dow Jones Newswires

January 04, 2026 23:03 ET (04:03 GMT)

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