Apple long-term positives outweigh near-term headwinds, says Morgan Stanley

Morgan Stanley analyst Erik Woodring said Apple admittedly faced more severe near-term macro and production pressure than the firm had forecasted in the December quarter, but the "Apple flywheel keeps spinning" despite these near-term macro and supply headwind. The firm, which contends that Apple’s "impressive gross margin performance" strengthen the long-term outlook, believes that long-term positives outweigh near-term headwinds and reiterates an Overweight rating and $175 price target on Apple shares.