Expensive stocks typically earn their valuations through superior growth rates that other companies simply can’t match. The flip side though is that these lofty expectations make them particularly susceptible to drawdowns when market sentiment shifts.
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 are three high-flying stocks expanding their competitive advantages.
Palantir Technologies (PLTR)
Forward P/S Ratio: 48x
Named after the all-seeing stones in "Lord of the Rings," Palantir Technologies (NASDAQ: PLTR) develops software platforms that help government agencies and enterprises integrate, analyze, and operationalize their data for decision-making.
Why Do We Love PLTR?
- Billings growth has averaged 59.5% over the last year, indicating a healthy pipeline of new contracts that should drive future revenue increases
- Fast payback periods on sales and marketing expenses allow the company to invest heavily and onboard many customers concurrently
- Strong free cash flow margin of 50.7% enables it to reinvest or return capital consistently
Palantir Technologies’s stock price of $134.80 implies a valuation ratio of 48x forward price-to-sales. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
Globalstar (GSAT)
Forward P/E Ratio: 535.2x
Known for powering the emergency SOS feature in newer Apple iPhones, Globalstar (NASDAQ: GSAT) operates a network of low-earth orbit satellites that provide voice and data communications services in remote areas where traditional cellular networks don't reach.
Why Are We Backing GSAT?
- Annual revenue growth of 15.6% over the past five years was outstanding, reflecting market share gains this cycle
- Robust free cash flow margin of 32.9% gives it many options for capital deployment, and its improved cash conversion implies it’s becoming a less capital-intensive business
- Historical investments are beginning to pay off as its returns on capital are growing
At $58.53 per share, Globalstar trades at 535.2x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
RLI (RLI)
Forward P/B Ratio: 3x
Founded in 1965 and named after its original focus on "replacement lens insurance" for contact lens wearers, RLI (NYSE: RLI) is a specialty insurance company that underwrites property, casualty, and surety products through wholesale brokers, independent agents, and carrier partnerships.
Why Does RLI Catch Our Eye?
- Annual revenue growth of 13.7% over the past five years was outstanding, reflecting market share gains this cycle
- Net premiums earned expanded by 13.3% annually over the last five years, demonstrating exceptional market penetration this cycle
- ROE punches in at 27.9%, illustrating management’s expertise in identifying profitable investments
RLI is trading at $60.80 per share, or 3x forward P/B. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.
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 5 Growth Stocks for this month. 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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
