SOURCE: Paragon Financial Limited

Paragon Financial Limited

November 10, 2011 08:16 ET

Baidu and Renren Overcome Headwinds to Post Spectacular Growth

The Paragon Report Provides Equity Research on Baidu & Renren

NEW YORK, NY--(Marketwire - Nov 10, 2011) - Chinese internet firms have shown explosive growth in recent quarters. While revenues throughout the sector have skyrocketed, higher costs have crimped margins for many Chinese Tech heavyweights. The hope is that rising expenses will pay off in the future, in a similar manner to American rival Google. The Paragon Report examines investing opportunities in China's Internet Sector and provides equity research on Baidu, Inc. (NASDAQ: BIDU) and Renren, Inc. (NYSE: RENN). Access to the full company reports can be found at:

www.paragonreport.com/BIDU
www.paragonreport.com/RENN

Chinese internet stocks were being crushed over the summer as more government regulations were being considered. As The Wall Street Journal reported, "China's government is considering new regulations to govern a corporate structure that has enabled a wave of Chinese firms to list overseas by circumventing rules against foreign investment in sectors like the Internet."

Moreover, Michael Schuman of Time.com, reports that several searches are impossible, emails are monitored, many web pages simply won't open, and others open so slowly that only an extremely patient or determined will endure the wait.

The Paragon Report provides investors with an excellent first step in their due diligence by providing daily trading ideas, and consolidating the public information available on them. For more investment research on China's Internet Sector register with us free at www.paragonreport.com and get exclusive access to our numerous stock reports and industry newsletters.

Despite all the hypothetical headwinds, Chinese internet firms continue to post amazing revenue growth. After reporting an 85 percent increase in its third-quarter revenue, Baidu predicted it would produce a similar gain in during the final three months of the year. Since Google's retreat from the mainland, Baidu's search market share in China has climbed from 64 percent in March 2010 to roughly 76 percent, according to the Beijing research firm Analysys International. Baidu is thriving by copying Google's business model. Like its rival, Baidu makes most of its money from placing ads alongside its search results.

Renren's model has been considered similar to that of Facebook -- which is banned in China. Renren operates the leading real name social networking internet platform in China. It enables users to connect and communicate with each other, share information and user generated content, play online games, listen to music, shop for deals and enjoy a wide range of other features and services.

The Paragon Report has not been compensated by any of the above-mentioned publicly traded companies. Paragon Report is compensated by other third party organizations for advertising services. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at http://www.paragonreport.com/disclaimer