UPDATE: Morgan Stanley Maintains Buy for Apple on Upside from New Products and Services

In a report published on Tuesday, Morgan Stanley analyst Katy Huberty reiterated Buy for Apple Inc.

and maintain a price target of $540.00. In the report, Huberty noted, "We see two ways to unlock value. 1) Low-end iPhone and iPad Mini will/is growing the user base, which increases the potential revenue impact of new services. Every $1 billion of new services revenue contributes $8 billion of valuation based on peer valuation. 2) Based on historical behavior and our December 2012 iTV survey, roughly a third to half of Apple users are likely to buy a new product, like iTV or iWatch, which accelerates revenue growth and expands valuation multiples." Apple stock is currently trading at $451.52, up .20 percent from its Monday close of $450.72.