Shares of Apple, which generates about a quarter of its sales in China, tumbled nearly 4 percent on Friday as investors worried about the outlook for the iPhone's amid intensifying concerns around China's growth prospects.
"Apple gets about 25 percent of its revenues from China and there's been increasing unease about the overall Chinese economy, said Toni Sacconaghi, technology analyst at Sanford C. Bernstein.
"We've seen other premium goods manufacturers starting to report weakness in China [and] I think investors are starting to extrapolate that."
That combined with the fact that Apple recently came off of a "tremendous iPhone 6 cycle" (iPhone sales will be up about 67 percent this year) has created worries that the tech giant's sales could contract next year.
"If iPhone units are down, the stock could continue to tread water and underperform relative to the market in the near term," Sacconaghi said. The company's iPhone business accounts for about 70 percent of its profits.