Apparently, even oil cresting $100 a barrel isn't enough to keep this market from surging higher. For bulls, these rallies may seem like a dream come true. For skeptics like me, they're opportunities to see whether companies trading near their 52-week highs really deserve their current valuations.
Keep in mind that some companies deserve their lofty prices. Applied Materials
Mmmmm, bear claw
Undoubtedly, the Stock Advisor team wouldn't agree with me, but I don't see how Panera Bread
Panera has consistently performed well up to this point, but with input costs rising and the stock already valued at nearly six times book value, investors may be wise to wait for a significant pullback before taking another bite.
A Stern warning
I can honestly say I'm not a huge fan of large, diversified media companies, but putting my biases aside, three of Liberty Capital's
First, Liberty holds a 40% stake in the highly indebted Sirius XM
Christmas in March
If I didn't know any better, I'd say it was Christmastime for shareholders of KV Pharmaceuticals
Bringing a drug to market doesn't happen overnight. It takes time, money and a skilled sales team. Investors should be cautious about buying into a company that has risen nearly vertically for a month now.
What's your take on these stocks? Do they have room to run higher or are they near a peak? Share your thoughts in the comments section below.
Panera Bread is a Motley Fool Stock Advisor pick. Motley Fool Options has recommended a diagonal call position on Intel, which is a Motley Fool Inside Value selection. The Fool owns shares of and has bought calls on Intel. Try any of our Foolish newsletter services free for 30 days.
Fool contributor Sean Williams does not own shares in any companies mentioned in this article. He recently tried satellite radio for the first time and prefers XM stations 52 and 54, if you were curious. You can follow him on CAPS under the screen name TMFUltraLong. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy which never needs to be sold short.