Top Wall Street Firm Just Gave Amazon (AMZN) This Target Price

Amazon shares have already skyrocketed this year, but another investment bank doesn’t think the gains are near over.

Cantor Fitzgerald just gave Amazon’s stock price a $1,000 target. He boosted its price target on Amazon (AMZN) from $835 to $1,000, noting that “e-commerce is reaching a tipping point” and Amazon is the “biggest beneficiary.”

According to Fitzgerald, Amazon Prime continues to be a big driver of business for the company.

“Prime’s value proposition continues to increase as a result of expanding same/next-day delivery footprint, improving content (video, music and books) and other add-on benefits. We estimate that the service now has over 60 [million] members worldwide and ~40 [million] in the US. Given the propensity of Prime members to spend 2-3x more annually than non-Prime members, we estimate that the company’s robust pace of growth (28% Y/Y rise in paid units in 2Q16) should continue,” the note said.

Cantor thinks that Wal-Mart ( WMT), even with its recent acquisition of Jet.com, is “unlikely to make much of an impact” on Amazon in the near term.

“Wal- Mart is looking to spend ~$11B in annual capex in FY17 and FY18, with a sizable allocation for further build out of its e-commerce/tech operations and add. While it remains to be seen how this effort plays out, we do not expect it to slow Amazon’s current momentum, given the latter’s significant lead online offering and a sizable and growing Prime member base,” the note also said.

Earlier this year, both RBC and Alliance Bernstein, also gave Amazon a $1,000 price target.

Disclaimer: We have no position in Amazon.com, Inc. (NASDAQ: AMZN) and have not been compensated for this article.