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Buy Apple ahead of the iPhone 7 launch?

All eyes are on Apple ahead of the company's annual fall media event on Wednesday.

The Cupertino-based company is expected to unveil its much anticipated iPhone 7.

Expectations for the new smartphone are high -- the iPhone is Apple's flagship device.


But as the competition grows and cheaper alternatives gain market share -- especially in emerging economies -- analysts and investors alike have questioned if Apple can maintain its iPhone-user growth.

Apple bears -- such as Omega Advisor's Leon Cooperman -- argue that the company's "best days might be behind it."

The company is much known and lauded for its innovation -- a factor that some analysts think the company might have stalled on.

And yet, each time Apple stock pulls back, the bulls rush to make their case for why shares are heading higher in the long-term.

Today Drexel Hamilton released a note arguing that "this summer will prove to be a bottoming process for Apple's stock," and Cowen argued that the "iPhone 7 is just a 'bridge' to get to a 'super-cycle' for iPhone launch a year from now."

Despite low expectations for tomorrow's event, Apple remains the largest company in the world.

The "Halftime Report" experts debated where Apple's heading from here.

"We know the iPhone 7 won't be a game-changer" -Stephanie Link

As owners of Apple stock, both Josh Brown and Stephanie Link believe in the long-term story of the company.

Link agrees with Cowen's call that the iPhone 7 is a stepping stone to the iPhone 8.

"You're going to have to have patience, and you're probably going to have to get closer to the iPhone 8 for this to really materially outperform," Link argued.

That said, she believes negative sentiment has already been reflected in shares of Apple. The company's estimates have come down, and given that it trades at just 12X forward earnings (much lower than many of its peers), Link believes that "at these levels it [Apple] is still pretty attractive."


As a market technician, Brown looks at Apple's charts for signs of when to buy and sell.

While the stock hasn't hit a new all-time high in almost a year, he notes that the stock "has solid support at the 200-day [moving average]" and that it now "has a price above its 50-day [moving average]."

Brown believes investors should focus solely on Apple's fundamentals rather than comparing it to other tech-darlings.

"You're paying a discount to the market, you're paying a discount to tech, you're even paying a discount to other hardware names. You've got a lot of things that could go right that not many people are expecting on the 7," he argued.

Trader disclosure: On September 6, 2016 the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Halftime Report" were owned by the "Halftime Report" traders:

Joe Terranova: Long ADBE, AVB, BBT, BLK, CTAS, DLTR, DPS, FB, FIS, FXY, ICE, NOC, ORCL, PSX, SHW,SJM, SKY, SLB, SLV, TJX, TMO, TXN, VMC, VRTS, VXX, VZ

Stephanie Link: Long AAPL, AGN, AIG, AMZN, APC, AVGO, BAC, BHI, C, CAG, CAT, CB, CIEN, CSCO, CVX,CXO, DOV, DOW, EL, ESRX, FB, GOOG, GOOGL, GS, HON, INTC, JPM, JWN, LLY, LOW,LPX, LRCX, M, MDLZ, MGM, MSFT, PANW, PG, PM, PPG, RTN, SLB, STI, SWK, TGT, UNH,UPS, URI, V, WBA, WBC, WFC, YUM, ZION

Josh Brown: Long AAPL, AMGN, BMY, CORE, DE, DNKN, GE, NVDA, SAM, SHAK, TWTR, XLE