"You get what you pay for" often applies to expensive stocks with best-in-class business models and execution. While their quality can sometimes justify the premium, they typically experience elevated volatility during market downturns when expectations change.
Separating true intrinsic value from speculation isn’t easy, especially during bull markets. That’s where StockStory comes in - to help you find high-quality companies that will stand the test of time. Keeping that in mind, here is one high-flying stock to hold for the long term and two climbing an uphill battle.
Two High-Flying Stocks to Sell:
Saia (SAIA)
Forward P/E Ratio: 40.6x
Pivoting its business model after realizing there was more success in delivering produce than selling it, Saia (NASDAQ: SAIA) is a provider of freight transportation solutions.
Why Does SAIA Give Us Pause?
- Muted 5.9% annual revenue growth over the last two years shows its demand lagged behind its industrials peers
- Investment activity picked up over the last five years, pressuring its weak free cash flow margin of -0.4%
- Eroding returns on capital suggest its historical profit centers are aging
At $444.62 per share, Saia trades at 40.6x forward P/E. If you’re considering SAIA for your portfolio, see our FREE research report to learn more.
RPC (RES)
Forward P/E Ratio: 35.5x
Operating primarily in the Permian Basin with 10 hydraulic fracturing fleets, RPC (NYSE: RES) provides specialized services and equipment like hydraulic fracturing, coiled tubing, and cementing to help oil and gas companies complete and maintain wells.
Why Are We Wary of RES?
- Subscale operations are evident in its revenue base of $1.63 billion, meaning it has fewer distribution channels than its larger rivals
- Gross margin of 28.3% is below its competitors, leaving less money to invest in exploration and production
- Low free cash flow margin of 6.1% for the last five years gives it little breathing room, constraining its ability to self-fund growth or return capital to shareholders
RPC is trading at $7.63 per share, or 35.5x forward P/E. Dive into our free research report to see why there are better opportunities than RES.
One High-Flying Stock to Watch:
Bel Fuse (BELFA)
Forward P/E Ratio: 35.5x
Founded by 26-year-old Elliot Bernstein during the electronics boom after WW2, Bel Fuse (NASDAQ: BELF.A) provides electronic systems and devices to the telecommunications, networking, transportation, and industrial sectors.
Why Is BELFA Interesting?
- Operating profits and efficiency rose over the last five years as it benefited from some fixed cost leverage
- Additional sales over the last five years increased its profitability as the 47.7% annual growth in its earnings per share outpaced its revenue
- Free cash flow margin increased by 11 percentage points over the last five years, giving the company more capital to invest or return to shareholders
Bel Fuse’s stock price of $245.96 implies a valuation ratio of 35.5x forward P/E. Is now the right time to buy? See for yourself in our full research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662%. AppLovin before it ran 753%. Nvidia before it ran 1,178%. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.
