Apple App Store net revenue grew 1% in December, says Morgan Stanley

Based on the latest data from Sensor Tower, Morgan Stanley analyst Erik Woodring estimates Apple’s App Store net revenue grew 1% year-over-year in December, which he says shows continued improvement and marks the first month of growth since June. Flowing this through his model implies 7% year-over-year Services growth in the December quarter, pointing to upside compared to the firm’s estimate for 5% year-over-year growth, said Woodring, who has an Overweight rating and $175 price target on Apple shares.