In a study available on Friday, analyst Katy Huberty referred to weaker growth in Apple’s App Store in May. The numbers were weaker than expected across the board, with a slowdown in all regions except the US, where month-on-month growth was flat.
“As a result, we now see downside to our net revenue forecast of up 15 percent year-on-year for Apple’s App Store in the June quarter,” Huberty wrote.
While the analyst believes that Apple users’ spending is more resilient than users of other IT hardware through all stages of the economic cycle, she says a slowdown in app store growth points to a likely slowdown in consumer spending on goods and services there.
Overall, Huberty remains bullish on the longer-term prospects for the app store and services. “However, a slowdown in growth in this area could weigh on Apple in the near term,” she wrote.
She therefore left the share at “Overweight” and the price target at 195 US dollars, with which she currently still sees an upside potential of around 35 percent for the share. Based on this rating, Morgan Stanley expects the stock to deliver an above-average total return compared to the other stocks in the same industry tracked by the bank. A period of between twelve and 18 months is taken as a basis.
On the NASDAQ, Apple shares temporarily fell 4.03 percent to $145.13.
/ck/he
Analytical Institute Morgan Stanley.
Publication of the original study: 06/03/2022 / 00:15 / GMT First distribution of the original study: 06/03/2022 / time not specified in the study / GMT
NEW YORK (dpa-AFX)
Leverage must be between 2 and 20
No data
More news about Apple Inc.
Image sources: Vividrange / Shutterstock.com, catwalker / Shutterstock.com