I asked my daughter today if she had a favorite CD. "No!" she said. Not at all?... OK, I'm not going down that far-too-easy humorous path. Her favorite CD was "the No! CD," which I took to mean They Might Be Giants' version. She also likes the "ABCs" CD. Which, uh, as you know, is also a They Might Be Giants CD. I know she has no concept that the CDs are from the same band, but clearly the apple has not fallen far from this tree.
Of course, the concept of an "album" is also somewhat alien to her, as she tends to think in songs ("House At The Top Of The Tree," from No!, "Theme From Higglytown Heroes" from Here Come The ABCs, Raffi's "Who Built The Ark", "Rattlin' Bog," off Dan Zanes' Night Time!). And she'll probably grow up a "song" person, not an album person, given how easy it is to pick songs.
Me, I'm still an album person, and while I could probably tell you what my favorite album ever was (Matthew Sweet's Girlfriend), I couldn't tell you what it would be now. Too many to choose from. Plus I get hung up over picking one among bands with lots of albums I love (TMBG, Wilco), and so some other album (Golden Smog's Weird Tales, maybe) slides through. Kinda like actresses from the same movie cancelling each other out at the Oscars...