Morgan Stanley analyst Brian Nowak told clients in note today that Alphabet's (GOOGL) - Get Report Waymo, the firm's autonomous car unit, could potentially be worth $70 billion and that the massive potential has not been adequately reflected in the firm's current stock price.

Nowak reiterated his "Overweight" rating on Alphabet's stock and $1,050 price target.

"Waymo is a potential spin-out candidate (over time) and our scenario analysis shows how Waymo could be worth $70bn+...adding ~12%+ to GOOGL's current EV [enterprise value]," Nowak wrote. "We do not believe Waymo or any of the 'Other Bets' are currently being reflected in GOOGL's share price."

For comparison, Uber is estimated to be valued at around $50 billion to $70 billion. The market value for Ford (F) - Get Report is about $44 billion. General Motor's (GM) - Get Report market value is currently about $50 billion.

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