Apple's core business is still doing very well, says Morgan Stanley's Erik Woodring

March 31, 2026 - 17:38

A leading Morgan Stanley analyst has come forward to reaffirm the fundamental health of Apple's primary operations, even as investors scrutinize the company's artificial intelligence strategy. Erik Woodring pointed to the tech giant's enduring financial and market strength during a recent financial segment.

Woodring emphasized that Apple's core business—encompassing its flagship hardware and high-margin services—continues to perform at a robust level. This foundational stability provides the company with a significant buffer and a powerful platform for future initiatives.

The discussion naturally turned to the burgeoning field of AI, a sector where some observers believe Apple has been less vocal than its competitors. Woodring addressed whether AI represents a new tailwind for the company, suggesting that Apple's integrated approach of blending hardware, software, and silicon positions it uniquely to deploy AI features that are deeply embedded into the user experience.

The analyst's commentary serves to underscore investor confidence in Apple's historical profit engines. While the AI race accelerates, the underlying profitability and loyal customer base of Apple's main product lines are seen as critical assets that will support the company's evolution, regardless of the competitive landscape in emerging technologies.