Nasdaq
华尔街日报1 High-Flying Stock with Exciting Potential and 2 We Turn Down
"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.
Finding the right balance between price and quality can challenge even the most skilled investors. Luckily for you, we started StockStory to help you identify the real opportunities. Keeping that in mind, 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:
Intel (INTC)
Forward P/E Ratio: 87.1x
Inventor of the x86 processor that powered decades of technological innovation in PCs, data centers, and numerous other markets, Intel (NASDAQ:INTC) is a leading manufacturer of computer processors and graphics chips.
Why Do We Think INTC Will Underperform?
- Customers postponed purchases of its products and services this cycle as its revenue declined by 6.4% annually over the last five years
- Earnings per share decreased by more than its revenue over the last five years, showing each sale was less profitable
- 35.3 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
At $36.84 per share, Intel trades at 87.1x forward P/E. Check out our free in-depth research report to learn more about why INTC doesn’t pass our bar.
SoundHound AI (SOUN)
Forward P/S Ratio: 19.1x
Born from the idea that machines should understand human speech as naturally as people do, SoundHound AI (NASDAQ:SOUN) develops voice recognition and conversational intelligence technology that enables businesses to integrate voice assistants into their products and services.
Why Does SOUN Worry Us?
- Sky-high servicing costs result in an inferior gross margin of 39.7% that must be offset through increased usage
- Extended payback periods on sales investments suggest the company’s platform isn’t resonating enough to drive efficient sales conversions
- Negative free cash flow raises questions about the return timeline for its investments
SoundHound AI is trading at $9.93 per share, or 19.1x forward price-to-sales. To fully understand why you should be careful with SOUN, check out our full research report (it’s free for active Edge members).
One High-Flying Stock to Buy:
Shopify (SHOP)
Forward P/S Ratio: 15.8x
Starting with just three people selling snowboards online in 2004, Shopify (NYSE:SHOP) provides a comprehensive platform that enables merchants of all sizes to create, manage and grow their businesses across multiple sales channels.
Why Will SHOP Outperform?
- Billings have averaged 30.8% growth over the last year, showing it’s securing new contracts that could potentially increase in value over time
- Notable projected revenue growth of 25.1% for the next 12 months hints at market share gains
- Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
Shopify’s stock price of $160.90 implies a valuation ratio of 15.8x forward price-to-sales. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
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 Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.