Now may be a good time to start hedging your bets on some of the more overvalued stocks in the market. According to Deutsche Bank analyst Lon Parisi, shareholders of McDonald’s Corporation MCD 1.12%, Johnson & Johnson JNJ 0.36% and NVIDIA Corporation NVDA 1.85% should consider buying puts to protect against a broad market sell-off in coming weeks.

“While the rebound is a welcome sight a deeper look at some of the constituents within the S&P 500 and Nasdaq 100 suggests that some stocks are overvalued and could experience a retracement particularly in the face of a broad-market sell-off,” Parisi warned.

Deutsche Bank screened for stocks that could be particularly at-risk of falling victim to a market selloff and identified stocks that met the following criteria: forward PE at least 70 percent higher than five-year average, outperformed both the S&P 500 and respective sector in the past year, share price within 5.0 percent of all-time high and liquid options market.

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