It's generally ill-advised to attempt to try timing the market, but that doesn't mean prospective investors should blindly buy a stock of a well-run company, either. This thought is shared by renowned investor Warren Buffett, who noted in his 1982 annual letter to Berkshire Hathaway shareholders, "For investors, paying an excessively high price for the stock of an outstanding company can negate the benefits of a decade of favorable business developments."

With that in mind, it's a savvy strategy for prospective investors to create a watchlist of overvalued stocks just in case they fall and become buying opportunities. And here are three stocks that fit the bill. 

Costco Wholesale (NASDAQ: COST) is a membership-only retailer known as one of the best-run companies in the world. Renowned investor and Berkshire Hathaway Vice Chairman Charlie Munger recently called Costco a "perfect" company but acknowledges only one flaw: its stock valuation. 

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Source Fool.com