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Microsoft on track to transfer Amazon into market closure after performance reports

In a Pacific Northwest battle to be the world's second most valuable company – potentially reaching a market value of…

In a Pacific Northwest battle to be the world’s second most valuable company – potentially reaching a market value of 1 trillion dollars – Microsoft Corp is about to take over Inc. on Friday.


AMZN, + 7.09%

has been No. 2 to Apple Inc.

AAPL, + 2.19%

and even briefly flirted with a market value of $ 1

billion in early September, but an October tech stock swoon, Seattle e-commerce sent giant valuation to $ 869.2 million at the end of Thursday’s trading. This valuation seems to be heading towards a healthy trim on Friday, as Amazon shares fell by 7.4 percent in after-trade after the quarterly earnings report.

If this decline was held, Amazon would be overcome by Microsoft

MSFT, + 5.84%

who received a 5.8% gain in Thursday trading after announcing revenues one day before Amazon. Microsoft finished Thursday’s session with a market share of $ 831.5 million, according to FactSet; if Amazonian’s expected decline is going to be, it would be worse than $ 810 million.

Apple became the first company to peak the $ 1 billiard barrier in August and knocked out Amazon. Amazon peaked the brand in a single intraday trade in early September, but has never closed a session with the high of a valuation. Several analysts expect Microsoft to ultimately reach $ 1 billion as it continues to successfully fight Amazon in cloud computing while enjoying the benefits of cloud software and its old personal computer manufacturing.

Microsoft’s share price needs up to $ 130 at current stock levels to reach $ 1 trillion. A dozen analysts have price targets for Microsoft at $ 130 or higher. The average price target for more than 30 analysts followed FactSet from Thursday afternoon was $ 125.69.

Amazon would need up to $ 2,050 per share to approach a $ 1 billion valuation. Prior to changes in response to Thursday’s performance report, the average price target on the Amazon share was from more than 40 analysts who tracked the company $ 2,212.98. Only five of these analysts have targets lower than $ 2,050 per share.

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