Wall Street now predicts both Amazon and Alphabet will hit $1,000 in the next year
Wall Street has high expectations for Amazon and Google's parent company, Alphabet , after they reported great earnings.
Analysts now expect the tech investors' cult favorites to hit $1,000 a share over the next 12 months, according to the average price forecast collected by FactSet.
The average price 12-month price target for Amazon is $1,049.23 a share and Alphabet's totals $1,031.36. Alphabet and Amazon both hovered around $930 during Friday trading. A month ago the Wall Street targets for both were below $1,000.
Alphabet smashed first-quarter earnings and sales estimates as mobile search and YouTube drove ad sales higher . Meanwhile, Amazon saw its quarterly revenue jump 23 percent year over year as sales for Amazon Web Services totaled $3.66 billion.
While it's not clear who will break the millennium mark first, Raymond James' Aaron Kessler — an analyst who covers both — said he's leaning toward Alphabet.
"We're more positive on Google for now as they have a better valuation," Kessler said. "Until we see more meaningful margin expansion, I think [Amazon] shares are going to be range-bound in the near term."
That said, investors may have to be patient to see either stock reach the $1,000 per-share mark.
"Both of these stocks were making new highs leading into earnings, so I'd expect short-term traders to sell some of these shares after the spike," said Marc Chaikin, CEO of Chaikin Analytics.
The two stocks have been on a tear this year, with Google's Class A shares rising 17.5 percent and Amazon' soaring 24.6 percent.
Amazon (green) and Alphabet Class A (blue) in 2017
Source: FactSet
