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Morgan Stanley says Apple iPhone sell-through in China ‘positively surprising’

Morgan Stanley says “deep” 618 Festival channel promotions in China are having success driving upside to iPhone and iPad sell-through in the June quarter and the firm now sees about 3.0M units of upside to its June quarter iPhone shipments forecast and about 2.5M units of upside to it June quarter iPad shipments view, or $4B revenue upside, all else equal. September quarter builds are tracking in-line to slightly better, adds the analyst, meaning “Apple (AAPL) could catch a short-term bid.” The firm keeps an Overweight rating and $235 price target on Apple shares.

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