Why KeyBanc's Hargreaves Upgraded Apple to Overweight

KeyBank analyst Andy Hargreaves discusses Apple's stock upgrade due to its pricing strategy, which is expected to increase profits despite potential unit sales concerns. The iPhone's pricing elasticity and market segmentation are highlighted as strengths. Potential risks include Qualcomm's legal actions and supply chain issues, though these are seen as manageable. Beyond the iPhone, Apple's growth is driven by services like the App Store and the Apple Watch.

What segments of Apple's business does the analyst express optimism about beyond the iPhone?

How has the App Store contributed to Apple's services growth according to the analysis?