Apple (AAPL) Stock Rated Outperform by Evercore Amid App Store Growth Slowdown

Apple Inc. (NASDAQ:AAPL) ranks among the best consumer electronics stocks to buy now. Despite observing a slowdown in the growth of App Store revenue, Evercore ISI reaffirmed its Outperform rating and $290 price target for Apple Inc. (NASDAQ:AAPL) on October 2.

According to the firm, App Store revenues increased 7% year-over-year in September after growing 14% in August. This results in an anticipated Q3 growth rate of 11.8% and concludes the six consecutive quarters of double-digit growth for the App Store.

According to regional data, China’s revenue was steady year-over-year, though South Korea and Japan witnessed 5% and 7% reductions, respectively. Given that September 2023 had seen an aggregate gain of 16%, Evercore ISI pointed out that September posed challenging comparisons.

Evercore ISI thinks Apple Inc. (NASDAQ:AAPL) is still in a strong position to reach double-digit services growth in the quarter, even with the September slowdown, with revenue growing at an average rate of about 12 over the course of the three-month period.

Apple Inc. (NASDAQ:AAPL) is a global tech company that is known for its core offerings, the iPhone, Mac, and Apple Watch, as well as its expansive service portfolio, which includes iCloud and Apple Music.

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Disclosure: None. This article is originally published at Insider Monkey.