Amazon has regained its title as the second-largest U.S. company by market value, thanks to blowout earnings. One analyst now predicts the online retailer is headed to a $1 trillion milestone.
Up as much as 7.9 percent as of 10:20 a.m. in New York, Amazon’s market capitalization climbed to $775 billion, surpassing the $734 billion by Microsoft, reclaiming the spot behind Apple that it briefly held in March.
The good news didn’t stop there. Amazon’s robust results have prompted a wave of upgrades by Wall Street analysts. Among them is Monness Crespi Hardt’s Brian White, who increased his share price target to $2,200 from $2,000. That new price tag implies a market value of $1 trillion, a level reached by just one company: PetroChina in 2007.
Amazon will have to catch Apple, though. The iPhone maker’s total worth peaked at $920 billion in March and has since fallen to $820 billion. White’s price target for the Apple is also the highest among all analysts tracked by Bloomberg. At $235, the share-price forecast represents a market value of $1.2 trillion.