Morgan Stanley’s Mike Wilson says some expensive stocks may stay below their highs for years

Morgan Stanley's Mike Wilson said Monday richly priced stocks that have been under pressure by rising bond yields are likely to face headwinds for the rest of the year — and possibly beyond.

"I'm very comfortable saying right now that a lot of these stocks that made their highs for the year may have made their highs for years," Wilson said on CNBC's "Fast Money," emphasizing he meant "plural."

"If you are or have been invested in very expensive parts of the market, you're on warning right now," added Wilson, who serves as Morgan Stanley's chief U.S. equity strategist. "I think you need to be careful with valuation in those particular areas, because I think those stocks may not recover this year at all."

More In CNBC TV Picks

CNBC ProGuggenheim’s Minerd says Fed tightening plan looks like ‘overkill,’ sees ‘season of pain’ ahead
CNBC ProArt Cashin of UBS says stocks are now at risk of even deeper sell-off
CNBC ProJeremy Grantham says today's bubble is worse than 2000, calls stocks to at least double their losses