China Mobile Ltd. (ADR) (CHL), Apple Inc. (AAPL): A Low-Cost iPhone

For a company with Apple’s retention rates, new customers are great for Apple investors. And as far as the argument that low-cost iPhones will hurt Apple’s margins, I’ve already debunked that here.

So is Apple’s iPhone segment at the end of its growth trajectory? I don’t think so. But fortunately Apple isn’t priced for much growth beyond inflation anyway, so if the segment growth doesn’t play out as nicely as I hope, investors aren’t doomed. If growth does resume nicely in Apple’s iPhone segment, consider it a bonus.

The article 3 Reasons Why Apple’s iPhone Still Has Room for Growth originally appeared on and is written by Daniel Sparks.

Fool contributor Daniel Sparks owns shares of Apple. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple. 

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