StockStory Flags Flex as Overvalued, Points to Vertiv and Caterpillar for Upside

StockStory cautioned on Flex (NYSE:FLEX) on June 1, 2026, citing a high forward price-to-earnings ratio that leaves little room for missteps, while favoring Vertiv (NYSE:VRT) and Caterpillar (NYSE:CAT) as better-positioned stocks. Flex, the former Flextronics, trades at $151.14 — a 32.3x multiple on forward earnings — but the research firm sees downside risk, noting that premium valuations hinge on flawless execution. In contrast, Vertiv, a provider of data-center infrastructure, was flagged as a potential market-beater despite an even richer 46x forward P/E. Caterpillar, the construction-equipment giant at $873.74 and 35.2x forward earnings, was highlighted as a watchlist candidate due to its underlying fundamentals. The assessments underscore a selective approach to high-multiple stocks as markets weigh growth realities.