Complaint alleges Baidu, Inc. misled investors between November 18, 2025 and August 17, 2026; investors may seek lead plaintiff role by November 13, 2026

LOS ANGELES, Oct. 20, 2026 /PRNewswire/ -- Glancy Prongay Wolke & Rotter LLP ("Glancy") announced today that the class action lawsuit covers investors who bought Baidu, Inc. ("Baidu" or the "Company") (NASDAQ: BIDU) securities between November 18, 2025 and August 17, 2026. The Baidu, Inc. case, Rosewood Funeral Home, Inc. v. Baidu, Inc. et al., was filed on September 14, 2026 in the U.S. District Court for the Southern District of New York (Case No. 26-cv-08012).

Investors who suffered losses on Baidu, Inc. investments can submit their Baidu, Inc. loss information here before the November 13, 2026 lead plaintiff deadline.

Key dates in the Baidu, Inc. case

• Class period: November 18, 2025 to August 17, 2026
• Complaint filed: September 14, 2026
• Lead plaintiff deadline: November 13, 2026

What happened?

On February 26, 2026, before the market opened, the Company reported fourth quarter and full year 2025 financial results, revealing that total revenue fell more than 4% year over year for the fourth quarter to RMB32.74 billion (or $4.68 billion) and fell more than 3% year over year for the full year to RMB129.079 billion (or $18.458 billion). However, Baidu management assured investors its "AI-Powered Business" grew 48% year over year to RMB40 billion for fiscal year 2025, mitigating this transition.

On this news, the price of Baidu American Depositary Shares ("ADS") fell $7.50 per share or 5.65%, to close at $125.15 per share on February 26, 2026, on unusually heavy trading volume.

Then on August 18, 2026, before the market opened, the Company reported second quarter 2026 financial results, revealing that Baidu General Business revenue fell 4% year over year to RMB25.2 billion (or $3.71 billion), with Legacy Business revenue falling 23% year over year to RMB10.4 billion and total Online Marketing Services revenue falling 19% year over year to RMB13.1 billion. Critically, the Baidu Core AI-powered business fell 8% quarter over quarter to RMB12.5 billion (or $1.86 billion), its year-over-year growth having decelerated from 49% in the first quarter of 2026 to 25%, and its largest component, AI Cloud Infra, having fallen 17% quarter over quarter from RMB8.8 billion to RMB7.3 billion.

On this news, the price of Baidu ADS fell $13.25 per share, or 12.73%, to close at $90.87 on August 18, 2026, thereby further injuring investors.

What is the Baidu, Inc. lawsuit about?

The Baidu, Inc. securities lawsuit alleges that, between November 18, 2025 and August 17, 2026, defendants made materially false and/or misleading statements and failed to disclose material adverse facts about Baidu, Inc.'s business, operations, and prospects. Specifically, the complaint alleges defendants failed to disclose that: (1) the Company had overstated the ability of its AI business to mitigate rapid declines in its legacy online marketing business; (2) as a result, the Company's revenue was reasonably likely to decline; and (3) as a result, defendants' positive statements about Baidu, Inc.'s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

"The complaint filed against Baidu, Inc. alleges that, among other things, the Company failed to disclose that the Company had overstated the ability of its AI business to mitigate rapid declines in its legacy online marketing business. For investors who bought during the class period, the November 13, 2026 deadline is the first major step in this case," said Charles H. Linehan, Partner at Glancy Prongay Wolke & Rotter LLP.

What's the next step?

Glancy Prongay Wolke & Rotter LLP is a leading national shareholder rights law firm, ready to assist Baidu, Inc. investors in potentially pursuing claims to recover their losses.

If you wish to serve as lead plaintiff in the Baidu, Inc. class action, you must move the Court no later than November 13, 2026. To learn more about your rights, visit the Baidu, Inc. case page, email shareholders@glancylaw.com, or call 310-201-9150 (toll-free: 888-773-9224).

You may retain counsel of your choice. If you bought Baidu, Inc. securities during the class period, you may take no action and remain an absent class member. No class has been certified yet in the Baidu, Inc. case.

Frequently Asked Questions

Who is eligible? Investors who purchased or otherwise acquired Baidu, Inc. securities between November 18, 2025 and August 17, 2026 and suffered losses may be members of the proposed class in the Baidu, Inc. shareholder lawsuit. Any class member may ask the court to appoint them lead plaintiff by November 13, 2026.

What is a lead plaintiff? In the Baidu, Inc. class action, the lead plaintiff is the investor, or group of investors, that the court appoints to represent all class members and oversee the case. Under the Private Securities Litigation Reform Act, courts generally presume the movant with the largest financial interest is the most adequate lead plaintiff.

Do I have to be lead plaintiff to recover? No. A Baidu, Inc. investor's ability to share in any future recovery does not depend on serving as lead plaintiff. Baidu, Inc. investors may take no action and remain absent class members.

What is the deadline? Motions to serve as lead plaintiff in the Baidu, Inc. class action must be filed by November 13, 2026.

Does it cost anything to contact Glancy or participate in this action? Glancy represents Baidu, Inc. investors on a contingency fee basis, which means investors pay no attorneys' fees unless there is a recovery. Any fees are subject to court approval and are paid from the recovery.

Can I choose my own lawyer? Yes. Baidu, Inc. investors may retain counsel of their choice.

Why work with Glancy on the Baidu, Inc. lawsuit? Glancy Prongay Wolke & Rotter LLP is a premier law firm with decades of experience representing investors and consumers in securities litigation and other complex class action litigation. Contact Glancy about the Baidu, Inc. lawsuit. Prior results do not guarantee a similar outcome.

About Glancy Prongay Wolke & Rotter LLP

Glancy was named one of Law360's Securities Groups of the Year and ranked second in total investor recoveries by ISS Securities Class Action Services in 2025.

Glancy's successes have been widely covered by leading news and industry publications, including The Wall Street Journal, The Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barron's, Investor's Business Daily, Forbes, and Money.

Prior results do not guarantee a similar outcome.

Related links

• Baidu, Inc. case page, Glancy Prongay Wolke & Rotter LLP
• Complaint: Rosewood Funeral Home, Inc. v. Baidu, Inc. et al., U.S. District Court for the Southern District of New York
• press release
• Baidu, Inc. SEC filings index, EDGAR
• Glancy Prongay Wolke & Rotter LLP

Contact
Charles H. Linehan
Glancy Prongay Wolke & Rotter LLP
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
Email: shareholders@glancylaw.com 
Telephone: 310-201-9150 | Toll-free: 888-773-9224
www.glancylaw.com
Follow Glancy on LinkedIn, X, or Facebook.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

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SOURCE Glancy Prongay Wolke & Rotter LLP