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Morgan Stanley says Apple could climb to $340 thanks to 'strong' App Store sales

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Scott Mlyn | CNBC

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Robust App Store sales will buoy Apple's revenues this quarter and could lead its stock higher over the next year as the company's services segment continues to post healthier top-line growth, Morgan Stanley told clients Wednesday.

Analyst Katy Huberty wrote that preliminary data show that App Store sales grew 39% in May, representing the strongest year-over-year growth for the platform since April 2017.

Quarter to date through May, App Store net sales are up 35% year over year, far outpacing Morgan Stanley's forecast of 18% growth for the entire June quarter.

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