Morgan Stanley's Katy Huberty wrote Wednesday that growth rates for Apple Inc.'s (AAPL) App Store picked up in July following a slowdown throughout the June quarter. The App Store grew revenue by 19% in July, Huberty said, based on her analysis of third-party data, compared with 14% growth in June and 18% growth in May. The July reacceleration was driven by strength in China, according to Morgan Stanley, where App Store revenue rose 20%. "It is admittedly too early to make a call on September-quarter App Store results, especially considering the current geopolitical environment, but July App Store results represent a positive start to the quarter," Huberty wrote. She rates Apple's stock at overweight with a $247 target price. The stock is down 1.4% in Wednesday trading but up 23% so far this year, compared with a 9.4% gain for the Dow Jones Industrial Average in that time.
-Emily Bary; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
August 07, 2019 09:53 ET (13:53 GMT)
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