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Apple tops the list of world's most valuable companiesReuters

Apple shares fell more than 2% on 9 July on investor fears that the slowdown in China would affect the iPhone maker's profitability.

Shares in Apple closed down 2.04% at $120.07 on 9 July, marking the fifth straight day of decline. In after-hours trading, they gained 0.77% at $121.00. The tech major now has a market capitalisation of $691.73bn (£449.75, €625.79bn).

The trading volume on 9 July was more than 78 million, well above the average of 40 million.

The fall came after a UBS research note said that more than half of the company's recent growth in revenue was contributed by greater China.

A slowing Chinese economy is a risk for Apple. After growing at double-digit rates for about three decades, China is facing a slowdown, with the pace of growth expected at less than 7% for 2015.

"We think Apple is OK for now, but we will watch the situation closely," UBS economist Tao Wang wrote.

However, Wang sees limited impact of the recent stock market turmoil on the economy. Equities account for about 20% of household financial wealth or 12-13% if property is included.

Separately, Deutsche Bank senior analyst Sherri Scribner in a research note projected that the company will underperform in 2016, as iPhone 6 sales will slow through the second half of 2015.

"If China is slowing, it's one of the bigger smartphone markets, it's probably going to be an issue, because that's where Apple has opportunity to gain some share," CNBC quoted her as saying.

Scribner was also doubtful about Apple's ability to expand beyond a 40% growth rate in 2015.

"That's going to be very difficult for them to see that type of growth off of a 40% base, considering how big they are," she said.