Morgan Stanley's Katy Huberty says Apple's (NASDAQ:AAPL) App Store revenue rebounded in July, helped by a meaningful reacceleration in China revenue.
App Store revenue grew 19% Y/Y in July compared to 14% in June. Growth in China was 20% versus 5%.
Huberty says it's too early to make conclusions about the current quarter, but the data points to a positive start and comps will get easier in August and September.
Morgan Stanley maintains an Overweight rating and $247 price target.
Apple shares are down 0.4% pre-market to $196.20. Apple has an Outperform average Sell Side rating.
Now read: Apple: The Most Expensive Bridge Ever »
Subscribe for full text news in your inbox