Shares of AAPL are up close to $12 this afternoon, approaching $636 as Apple's Wall Street momentum continues in earnest Thursday.

Following Apple's most recent earnings call, investor interest in Apple has been stronger than anything analysts have seen from the company in months. And it appears that market confidence is only accelerating in the wake of yesterday's big acquisition news.

On Wednesday, Apple confirmed plans to acquire Beats, the streaming music provider and headphones maker, for $3 billion. And today on Wall Street, investors appear to approve of the purchase.

Morgan Stanley analyst Katy Huberty even went as far as to say that Apple's acquisition is relatively "low-risk" and comes with a "potentially high-return."

With Apple's iTunes business seeing mitigated revenue over the last several months, Beats may help Apple pick up the slack on its services revenue.

"Apple believes Beats offers the right strategy for streaming music as it leverages both algorithms and 200 human curators to create playlists, which differentiates it from competitors," Huberty says. "Apple plans to monetize the service with aggressive subscriber growth (from 250K today) and become profitable over the long term."

Investors seem optimistic that Apple will make it work.

Source: Time