NEW YORK (TheStreet) -- The Nasdaq broke above 5,000 for the first time since March 2000, at which point the index infamously dropped nearly 80%. On CNBC's "Fast Money Halftime" Jim Lebenthal, president of Lebenthal Asset Management, said investors shouldn't have to worry about a similar reaction this time. 

The index is fair-to-cheaply priced at these levels, he explained, with its largest components, like Apple (AAPL - Get Report), Microsoft (MSFT - Get Report), Intel (INTC - Get Report) and Cisco Systems (CSCO - Get Report) trading at "value prices." The index still has room to run. 

Josh Brown, CEO and co-founder of Ritholtz Wealth Management, agreed, adding small- and mid-cap stocks plus emerging markets stocks are performing well while traditional safe haven assets like utilities and bonds are underperforming. 

To a degree, the price-to-earnings growth of many Nasdaq components are cheaper than the broader market, Brown added. Many biotech stocks, which have had an enormous run, have intellectual property that cannot be replaced, which is why these stocks continue to go higher. 

Large-cap biotech companies tend to have low valuations, strong balance sheets and are shareholder friendly, said Pete Najarian, co-founder of optionmonster.com and trademonster.com. While some of the companies in the Nasdaq do have high valuations -- like Amazon (AMZN - Get Report) -- many do not, especially in the top five and top ten holdings, Najarian added. 

Facebook (FB - Get Report), which has a higher valuation than many of the other large holdings in the Nasdaq, has strong growth and a great leader in CEO Mark Zuckerberg, Najarian said. Lebenthal said the stock is just "too expensive" to buy. 

Technology companies are the growth engine of the U.S., reasoned Joseph Terranova, senior managing director for Virtus Investment Partners. Based on long-term growth and current valuations, many of these stocks look cheap. 

The S&P 500 is being pulled higher by Apple, said Steve Grasso, director of institutional sales at Stuart Frankel. Long-term investors can stay long both the index and Apple, while short-term traders should consider taking some profits. 

Shares of Lumber Liquidators (LL - Get Report) are down some 21%. Shares are now down approximately 40% in the past five trading sessions, following a top- and bottom-line earnings miss last Wednesday and a negative 60 Minutes report on Sunday claiming the company sold toxic wood products to its customers. 

Whitney Tilson, managing director at Kase Capital, is short the stock, saying he was "in awe" of the investigative journalism by 60 Minutes. Employees at some of the Chinese factories admitted to the toxic wood being used. Lumber Liquidators is now a "desperate company" that is going to struggle mightily going forward, Tilson said. 

"It's a perfect short" right now, he explained, adding, "I believe this will be a short I'll never have to cover." Tilson reasoned that shares could be headed to zero and the stock is still expensive even after the recent fall, given the likelihood of declining revenues and an increase in expenses. He said he would consider taking some profits around $15. 

Lowe's (LOW - Get Report) and Home Depot (HD - Get Report), on the other hand, have a "rigorous compliance program" and their products are fine, he added. Lumber Liquidators either knew or should have known what was going on with their product.

For their final trades, Lebenthal is buying BP plc (BP - Get Report), Terranova is a buyer of First Republic Bank (FRC - Get Report) and Brown said to buy CME Group (CME - Get Report).

-- Written by Bret Kenwell 

Follow @BretKenwell

This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.