Pacific Crest downgraded Baidu (NASDAQ: BIDU) from Overweight to Sector Weight. The change follows Q2 results. Analyst Cheng Cheng thinks its O2O transition may create a multi-year valley in earnings.

"O2O is creating headwinds for margins and revenue growth. O2O may be the better long-term course for Baidu, but we believe it could be entering several years of low earnings growth. We are downgrading Baidu to Sector Weight," said Cheng.

For an analyst ratings summary and ratings history on Baidu click here. For more ratings news on Baidu click here.

Shares of Baidu closed at $197.68 yesterday.

Analyst Comments Analyst EPS View Downgrades

CLSA Downgrades Baidu (BIDU) to UnderperformJuly 28, 2015 1:39 PM Baidu (BIDU) PT Lowered to $210 at Piper Jaffray Post Q2July 28, 2015 8:34 AM Deutsche Bank Downgrades Baidu (BIDU) to HoldJuly 28, 2015 7:26 AM Summit Research Cuts Price Target to $205 on Baidu.com (BIDU) Following 2Q15 July 28, 2015 7:06 AM Brean Capital Downgrades Baidu (BIDU) to Hold; Earnings Uncertainties AheadJuly 28, 2015 6:27 AM Baidu.com (BIDU) Reports Q2 EPS of $1.81July 27, 2015 4:31 PM Baidu Announces Second Quarter 2015 ResultsJuly 27, 2015 4:30 PM