Apple innovation engine at 'full throttle' after WWDC keynote, Morgan Stanley says
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Apple's (NASDAQ:AAPL) innovation engine is at "full throttle," investment firm Morgan Stanley said, following the keynote address of the tech giant's annual Worldwide Developers Conference
Analyst Katy Huberty, who rates Apple (AAPL) shares overweight with a $195 price target, noted that the greater cross functionality between operating systems, the two new M2 MacBook Pro and Air, integrated CarPlay and expanded health and fitness apps were the major highlights from the address.
"What incrementally surprised us was twofold â first, that Apple introduced a new M2 SoC for the Mac - our checks were unclear on timing of the M2 introduction - and second, that in addition to the new MacBook Air, Apple upgraded the 13â MacBook Pro (2nd best-selling laptop in the world) to now include the M2 design," Huberty wrote in a note to clients.
Apple (AAPL) shares fell 1.5% to $143.97 in premarket trading.
The analyst also noted that the CarPlay updates that were announced, including better integration with existing infotainment systems and adaptions by manufacturers such as Ford (F), Audi, BMW and more, are significant. Not only does it put Apple (AAPL) "at the center of the auto software experience," but it may also be a part of the tech giant developing a car operating system and may be "a small taste of what's possible with a potential Apple Car project."
Huberty also pointed out that the lack of any "meaningful privacy updates" that could hurt tracking by third-parties, as well as a "sneak peek" of partnerships or features for the upcoming mixed reality headset were noticeable, in light of recent news from the advertising industry, particularly Snap's (SNAP) recent warning.
Nonetheless, Huberty noted that Apple's (AAPL) deep focus on integrating hardware and software continues to provide "an unmatched, and unreplicable, user experience." 
Several analysts told Seeking Alpha that Apple's (AAPL) new MacBooks were on their way to becoming a hit, with one expert pointing out they will become "two of the most-powerful laptops on the market."