3 Reasons China Is Apple Inc.'s Biggest Growth Opportunity

Updated
3 Reasons China Is Apple Inc.'s Biggest Growth Opportunity

After smartphone shipments in China nearly quadrupled in the past two years, IDC says growth in the region will slow dramatically in the next few years. IDC estimates 2014 year-over-year growth in China smartphone sales of about 20% and just 10% in 2015. With such a significant slowdown in smartphone sales in the region, should Apple investors be worried? After all, its Greater China segment accounts for a meaningful 15.3% of the company's sales (and growing).

In the video below, Fool contributor Daniel Sparks argues that despite slowing smartphone market growth in China, the country is still Apple's biggest opportunity. While it might not be enough to get investors with a short-term time horizon excited, the opportunity over the long haul is big enough to justify Apple's conservative valuation.

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The article 3 Reasons China Is Apple Inc.'s Biggest Growth Opportunity originally appeared on Fool.com.

Daniel Sparks owns shares of Apple. The Motley Fool recommends and owns shares of Apple. It also owns shares of China Mobile. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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