"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. That said, here is one high-flying stock to hold for the long term and two where the price is not right.

Two High-Flying Stocks to Sell:

Warner Bros. Discovery (WBD)

Forward P/E Ratio: 181.8x

Formed from the merger of WarnerMedia and Discovery, Warner Bros. Discovery (NASDAQ: WBD) is a multinational media and entertainment company, offering television networks, streaming services, and film and television production.

Why Should You Sell WBD?

1. Sales tumbled by 4.9% annually over the last two years, showing consumer trends are working against its favor
2. Earnings per share fell by 55.1% annually over the last five years while its revenue grew, showing its incremental sales were much less profitable
3. Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned

Warner Bros. Discovery is trading at $10 per share, or 181.8x forward P/E. Dive into our free research report to see why there are better opportunities than WBD.

Crane (CR)

Forward P/E Ratio: 30.1x

Based in Connecticut, Crane (NYSE: CR) is a diversified manufacturer of engineered industrial products, including fluid handling, and aerospace technologies.

Why Do We Pass on CR?

1. Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy
2. Estimated sales growth of 6.3% for the next 12 months is soft and implies weaker demand
3. Earnings per share have dipped by 1.4% annually over the past five years, which is concerning because stock prices follow EPS over the long term

Crane’s stock price of $170.82 implies a valuation ratio of 30.1x forward P/E. Read our free research report to see why you should think twice about including CR in your portfolio.

One High-Flying Stock to Buy:

Howmet (HWM)

Forward P/E Ratio: 51x

Inventing the first forged aluminum truck wheel, Howmet (NYSE: HWM) specializes in lightweight metals engineering and manufacturing multi-material components used in vehicles.

Why Do We Love HWM?

1. Annual revenue growth of 12.7% over the past two years was outstanding, reflecting market share gains this cycle
2. Share buybacks catapulted its annual earnings per share growth to 40.5%, which outperformed its revenue gains over the last two years
3. Free cash flow margin grew by 12.6 percentage points over the last five years, giving the company more chips to play with

At $172.98 per share, Howmet trades at 51x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

Stocks We Like Even More

Donald Trump’s victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs.

While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free.