If you ask most people to explain the non-stop rally in shares of Baidu (BIDU), they won't have much of a response as the stock seems to defy all logic. It's for this reason that BIDU's rally since splitting 10-1 on May 12th doesn't seem to surprise anybody. Ever since going public back in August 2005, nothing the stock has done has been ordinary. We all know that stock splits don't have any fundamental impact on a company, but in BIDU's case, the stock has rallied by 13% in the span of less than two days, adding $2.5 billion to the company's market cap.
click to enlarge