Is IQIYI Stock (IQ) a Good Investment?

By Adam Scheg
May 04, 2026
Featured Tickers:
IQ

Learn more about whether iQIYI, Inc. is a good stock to buy or sell based on recent news as well as its key financial metrics. Read on to find out how (IQ) grades on certain investment factors and determine whether it meets your investment needs.

Latest iQIYI, Inc. Stock News

As of May 01, 2026, iQIYI, Inc. had a $1.2 billion market capitalization, putting it in the 47th percentile of companies in the Entertainment industry.

iQIYI, Inc. does not have a meaningful P/E due to negative earnings over the last 12 trailing months. iQIYI, Inc.’s trailing 12-month revenue is $3.9 billion with a -0.8% profit margin. Year-over-year quarterly sales growth most recently was -6.0%. Analysts expect adjusted earnings to reach $0.075 per share for the current fiscal year. iQIYI, Inc. does not currently pay a dividend.

Consumers all over the world are continuing to shift from using traditional TV/radio media to solely using internet/digital media. Consequently, there is an ongoing $650+ billion shift in total global advertising spend from traditional media to internet/digital media. This shift is driven not only by the increase in time spent by consumers on internet/digital versus traditional media but also by the superior return on investment due to more precise targeting, richer feedback and a more efficient ad buying process that is mostly auction-based and increasingly programmatic. Furthermore, with the increasing application of machine/deep learning techniques, analysts expect higher returns on investment from internet/digital campaigns over time. While the global pandemic has had a negative impact on advertising overall, internet/digital ad spend is forecasted to grow by 10.1% in 2021 year over year, after being the only form of media that saw any ad spend growth in 2020, increasing by 3.2% year over year. Internet/digital media accounted for approximately 48% of total global ad spend in 2020 and is expected to account for a full 50% in 2021.



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Grading iQIYI, Inc. Stock

Before you choose to buy, sell or hold iQIYI, Inc. stock, you’ll want to analyze how it has been graded. Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, making sense of financial ratios, reading income statements and analyzing recent stock movement. To help individual investors decide whether or not to buy (IQ) stock, AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way that is suitable for investors of all knowledge levels.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings revisions and quality. Here, we’ll take a closer look at iQIYI, Inc.’s stock grades for value, growth and quality. Learn more about A+ Investor here!

iQIYI, Inc. Stock Value Grade

Value Grade:

Metric Rank IQ Sector Median
Price/Sales 2 0.04 0.85
Price/Earnings na na 18.5
EV/EBITDA 6 3.5 10.5
Shareholder Yield 53 (0.5%) (0.6%)
Price/Book Value 11 0.62 1.58
Price/Free Cash Flow 94 122.0 15.1

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade is derived from a stock’s value score. The value score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

iQIYI, Inc. has a Value Score of 78, which is Value.

iQIYI, Inc. Stock Growth Grade

Growth Grade:

Metric Metric Score IQ Sector Median
Sales Growth 5yr Ann'l 20 (3.0%) 5.0%
Sales Increases YoY Last 5 yrs 40 2 of 5 3 of 5
Cash from Operations Ann'l Positive Last 5 yrs 60 3 of 5 5 of 5

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the Growth Score and assign it a letter grade, the percentile ranks for each of the three individual components‐consistency of annual sales growth, five‐year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered Very Weak, while those in the top 20% receive A grades, which are considered Very Strong.

iQIYI, Inc. has a Growth Score of 6, which is Very Weak.

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iQIYI, Inc. Stock Earnings Estimate Revisions Grade

Estimate Revisions Grade:

Metric Score IQ Sector Median
Quarterly Surprise SUE Latest Qtr 40 0.6 0.6
Quarterly Surprise SUE Prior Qtr 27 0.0 1.0
EPS Est Current Year % Rev Last Month 5 (24.1%) 0.0%
EPS Est Current Year % Rev 3 Mos 8 (45.3%) 0.0%

The Earnings Estimate Revisions Score considers the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. The Earnings Estimate Revisions Score is based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

iQIYI, Inc. has an Earnings Estimate Revisions Score of 20, which is Very Negative.

Other iQIYI, Inc. Stock Grades

In addition to Value, Growth and Estimate Revisions, A+ Investor also provides grades for Momentum and Quality.

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The Momentum Grade helps uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the Quality Grade is the percentile rank of the composite return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F—Score.

These 2 key factors, when combined with the above, provide a holistic view into a stock. Further, by joining A+ Investor you can see whether iQIYI, Inc.’s stock passes any of our 60+ stock screens that have outperformed the market since their creation.

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Should I Buy iQIYI, Inc. Stock?

Overall, iQIYI, Inc. stock has a Value Grade of B, Growth Grade of F, Earnings Estimate Revisions Grade of F.

Whether or not you should buy iQIYI, Inc. stock will ultimately depend on your individual goals, risk tolerance and allocation. AAII can help you figure these out and identify which investments align with what works best for you.

Lastly, it’s important to evaluate a stock by comparing it against others in the same industry. Review the table below to see how iQIYI, Inc. stock stands up against its competitors. Click into any of the below tickers to see their stock grades for value, momentum, quality and EPS revisions.

iQIYI, Inc. (IQ) Competitors

Companies similar to iQIYI, Inc. in the Entertainment industry.

Company name Ticker Market Cap
HUYA Inc. HUYA $715.62Mil
Reservoir Media, Inc. RSVR $666.17Mil
Ubisoft Entertainment SA UBSFY $739.85Mil
AMC Entertainment Holdings, Inc. AMC $912.08Mil
Playtika Holding Corp. PLTK $1.42Bil

iQIYI, Inc. Stock: Bottom Line

You can use the information about how iQIYI, Inc. is graded to determine if you should invest in this stock. However, you should decide whether iQIYI, Inc.’s stock is a buy, sell or hold based on a combination of grades, metrics, ratios and U.S. Securities and Exchange Commission (SEC) reports.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets—without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

So, if you’re still on the fence about whether iQIYI, Inc. is a buy, sell or hold, you can utilize AAII’s expansive and robust screening tools like A+ Investor to help with your decision.

A+ Investor adds to its qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions, find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

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