Morgan Stanley: Apple's Trade-In Program Could Help Fund iPhone Upgrades for Years

With Apple (NASDAQ: AAPL) shares trading at all-time highs and briefly flirting with $400, Morgan Stanley analyst Katy Huberty reiterated her outperform rating and boosted the firm's price target from $340 to $419 on Monday. While Apple's iPhone trade-in program isn't new by any stretch, Huberty has crunched some numbers and argues that the offering is a "sustainable competitive advantage" that could be underappreciated by investors. Trade-ins have become an important way for Apple to remove friction around the upgrade process while offsetting part of rising prices.