Who is the largest shareholder of iQIYI (IQ)? Is the stock worth buying?

IQIYI (stock ticker symbol: IQ) is China’s leading video streaming platform, which is quite popular among Chinese audiences. The company is already listed on NASDAQ in the United States, so who is iQIYI’s controlling shareholder? How is the company’s financial performance? Is the IQIYI stock worth a buy?

According to iQIYI’s 2018 annual report and public information online, the controlling shareholder of iQIYI is Baidu (BIDU), a famous Chinese Internet technology company. Baidu, the parent company of iQIYI, holds about 56.6% shares of iQIYI and 92.9% voting power of iQIYI. IQIYI’s second and third largest shareholders are Xiaomi, Hillhouse Capital.

In terms of business performance, iQIYI’s has not been doing so well. During the past three years (from 2016 to 2018), iQIYI has suffered losses for three consecutive years, and the losses have been increasing year by year. In 2018, iQIYI’s net loss was 9.1 billion yuan.

Reference link:

IQIYI 2018 financial report (annual report)