Amazon is set to become the fourth U.S. company worth $1 trillion after its shares Friday surged following blockbuster earnings that included surpassing 150 million Amazon Prime customers, faster shipping and a surge in cloud data storage and computing revenue among the highlights.
Shares were up more than 9% in late-morning trade, shrugging off a down market spooked by the Coronavirus. The move promised the company will likely hit the market close worth over $1 trillion. It’s flirted with the mark before, including late yesterday afternoon, but never closed there. It would follow — who else? — Apple, Google parent Alphabet, and Microsoft into the stock market ether.
The company on Thursday reported a 21% jump in earnings to $87 billion.
Analysts at Benchmark raised the price target on the stock by $150 to $2,400 in a note to clients titled “Not-so-subtle Reminder Amazon is Still King,” for its “size and capacity advantage.”
“Amazon’s ability to re-accelerate revenue growth at such a large scale is evidence that its (Prime One Day) investments are paying off,” said J.P. Morgan analyst Doug Anmuth.
In all, nearly half of the 51 Wall Street analysts covering Amazon raised their 12-month price targets on the company’s stock.