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Halftime: Does Apple's iPad 'Really' Have Competition?

With Apple having released its second generation iPad this week, investors might want to cash in on the competition, including tablet makers Research In Motion, Dell , Hewlett-Packard and Motorola Mobility . The problem, said the "Fast Money" traders on Friday, is that Apple has no competition.

"They have no competitors right now. They control," said Joe Terranova, chief market strategist at Virtus Investment Partners. "They're clearly ahead of everyone else in terms of innovation. They're already rolling out their second generation of a tablet product. Most others are just bringing forth their first."

Apple already has 80 percent of the tablet market and it will only continue to expand, said Steve Grasso of Stuart Frankel. Product integration is really benefitting the Cupertino, Calif.-based company.

"Once you get a Mac, you have all the other products that are associated with Apple," he explained, adding that some investors are interested in buying RIMM on valuation, but they soon realize it's no Apple. "There's Apple and there's everything else."

Patty Edwards, chief investment officer at Trutina Financial, owns Apple shares. But she doesn't recommend buying Apple's stock at current levels. Instead, she suggests investing in component suppliers to Apple, like Qualcomm or Corning .

Camera chip maker OmniVision Technologies is a play not just on Apple, but on all tablet makers, said options trader Jon Najarian. Broadcom , which makes chips for Bluetooth capability, is one of his favorite plays.

On a valuation basis, Najarian added that Apple's stock is cheap. Unlike other tablet makers, it has a reoccurring revenue model that makes it "best in breed." For example, Apple gets $16 a month for the iPhone.

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Trader disclosure: On Mar. 4, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Joe Terranova owns (VRTS), (C), (UPL), (ABT), (MS), (PBR), (BAX), (TEVA), (CVI), (RSX), (SU) and (CNQ). Steve Grasso owns (ASTM), (BA), (BAC), (BWC), (C), (CSCO), (JPM), (LIT), (LPX), (MT), (MHY), (NDAQ), (PFE), (PRST) and (S). Jon Najarian owns (CSTR), is short (CSTR) calls. Jon Najarian owns (CBOE), is short (CBOE) calls. Jon Najarian owns (CME), is short (CME) calls. Jon Najarian owns (NYX), is short (NYX) calls. Jon Najarian owns (BP), is short (BP) calls. Jon Najarian owns (CHK), is short (CHK) calls. Jon Najarian owns (XOM), is short (XOM) calls. Jon Najarian owns (WMT), is short (WMT) calls. Jon Najarian owns (AAPL), is short (AAPL) calls. Jon Najarian owns (SLW), is short (SLW) calls. Jon Najarian owns (PAAS), is short (PAAS) calls. Jon Najarian owns (ONNN), is short (ONNN) calls.

Comcast Is The Parent Company Of CNBC
Comcast Is The Parent Company Of NBCUniversal
GE Owns 49% Of NBCUniversal
GE Owns 49% Of CNBC

JOE TERRANOVA
Virtus Investment Partners Owns More Than 1% Of (ABAX)
Virtus Investment Partners Owns More Than 1% Of (AMKR)
Virtus Investment Partners Owns More Than 1% Of (CCG)
Virtus Investment Partners Owns More Than 1% Of (CASS)
Virtus Investment Partners Owns More Than 1% Of (CSVI)
Virtus Investment Partners Owns More Than 1% Of (EXR)
Virtus Investment Partners Owns More Than 1% Of (FCFS)
Virtus Investment Partners Owns More Than 1% Of (KRC)
Virtus Investment Partners Owns More Than 1% Of (LDR)
Virtus Investment Partners Owns More Than 1% Of (LPHI)
Virtus Investment Partners Owns More Than 1% Of (NCRI)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (XLE)
Virtus Investment Partners Owns More Than 1% Of (XLF)
Virtus Investment Partners Owns More Than 1% Of (XLI)
Virtus Investment Partners Owns More Than 1% Of (XLK)
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (SUBK)
Virtus Investment Partners Owns More Than 1% Of (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of (DOM)

PATTY EDWARDS
Edwards owns (SPY) for clients
Edwards owns (XLB) for clients
Edwards owns (GLD) for clients
Edwards owns (SLV) for clients
Edwards owns (AMZN) for clients
Edwards owns (V) for clients
Edwards owns (JNJ) for clients
Edwards owns (AAPL) for clients
Edwards owns (MSFT) for clients
Edwards owns (QCOM) for clients
Edwards owns (SYT) for clients
Edwards owns (POT) for clients
Edwards owns (GE) for clients
Edwards owns (TGT) for clients
Edwards owns (CME) for clients
Edwards owns (BKCC) for clients
Edwards owns (FXI) for clients

STEVE GRASSO
Stuart Frankel & Co and it’s partners own (AMGN)
Stuart Frankel & Co and it’s partners own (CSCO)
Stuart Frankel & Co and it’s partners own (CUBA)
Stuart Frankel & Co and it’s partners own (GERN)
Stuart Frankel & Co and it’s partners own (HPQ)
Stuart Frankel & Co and it’s partners own (HSPO)
Stuart Frankel & Co and it’s partners own (MSFT)
Stuart Frankel & Co and it’s partners own (NEM)
Stuart Frankel & Co and it’s partners own (NYX)
Stuart Frankel & Co and it’s partners own (PFE)
Stuart Frankel & Co and it’s partners own (PRST)
Stuart Frankel & Co and it’s partners own (SDS)
Stuart Frankel & Co and it’s partners own (XRX)
Stuart Frankel & Co and it’s partners own (SDS)
Stuart Frankel & Co and it’s partners are short (QQQQ)
Stuart Frankel & Co and it’s partners own (AAPL)

JOE LAVORGNA
LaVorgna has no disclosures

CNBC.com with wires.

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