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How Google Gets to $1,000: Kirjner

After hitting two all-time highs in as many days, shares of Google appear headed toward $1,000, Carlos Kirjner of Bernstein Research said Tuesday on CNBC.

"We think the secular trends are in Google's favor here," he said.

On "Fast Money," Kirjner said that mobile was key.

"No. 1, we think mobile is good for Google. It has been a key tenet of the bear case, but if you think about it, you have today 1 billion people connected to the web," he said. "Because of mobile, you are on path to have 3 to 4 billion people connected all the time, everywhere, driving more transactions, more commerce, and because of that, more search and more advertising."

Kirjner said that Google has shown it can manage expenses, adding that the likelihood of margin compression was small.

For 2014, he estimated earnings per share of $57 and a valuation multiple of 17, which prices the stock near $1,000 per share.

Kirjner took a positive view of Google's Android mobile platform, which competes with those by Apple and Microsoft.

"We think the main objective of Android is to ensure a competitive and innovative handset market," he said. "Just do the following thought experiment: Think of the world without Android. It would be probably a smartphone monopoly, which would create a bottleneck."

Trader disclosure: On March 5, 2013, the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Fast Money" were owned by the "Fast Money" traders: Joe Terranova is long VRTS; Joe Terranova is long SJM; Joe Terranova is long MJN; Joe Terranova is long AXP; Joe Terranova is long GPS; Joe Terranova is long KORS; Joe Terranova is long GS; Joe Terranova is long SWN; Mike Murphy is long GS; Mike Murphy is long F; Stephen Weiss is long SPY 147 APR PUTS; Stephen Weiss is long BAC; Stephen Weiss is long C; Stephen Weiss is long QCOM; Stephen Weiss is long M; Stephen Weiss is short JCP; Jon Najarian is long AAPL; Jon Najarian is long JPM; Jon Najarian is long WFC; Jon Najarian is long CSCO; Jon Najarian is long QCOM; Jon Najarian is long NFLX; Jon Najarian is long RDN; Jon Najarian is long AXP; Jon Najarian is long AMTD; Jon Najarian is long YELP; Jon Najarian is long SWN; Dan Nathan is short SPY; Dan Nathan is short QQQ; Dan Nathan is long AMZN APR 240/200/160 PUT FLY;

For Mark Mahaney
RBC Capital Markets, LLC makes a market in the securities of Netflix Inc. and may act as principal with regard to sales or purchases of this security.


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