Leading brokers have named Commonwealth Bank of Australia (ASX:CBA) and these ASX shares as sells this week. Here’s why they are bearish…
The post Leading brokers name 3 ASX shares to sell today appeared first on The Motley Fool Australia. –
On Monday I looked at three ASX shares that brokers have given buy ratings to this week.
Unfortunately, not all shares are in favour with them right now. Three that have just been given sell ratings are listed below. Here’s why these brokers are bearish on these ASX shares:
Commonwealth Bank of Australia (ASX: CBA)
According to a note out of Goldman Sachs, its analysts have reiterated their sell rating and $80.26 price target on this banking giant’s shares. While Goldman acknowledges that CBA’s balance sheet is strong and it has a sector leading capital position and superior performance on volume growth, it doesn’t believe this justifies the 42% premium it is currently trading on versus peers. The Commonwealth Bank share price is trading $98.34 this morning.
Fisher & Paykel Healthcare Corp Ltd (ASX: FPH)
A note out of UBS reveals that its analysts have retained their sell rating but increased their price target on this medical device company’s shares to NZ$24.80 (A$23.03). While a strong full year result for FY 2021 is expected later this month, UBS believes that its earnings will decline materially in FY 2022 due to lower pandemic-related sales. And although it expects its earnings to return to growth in FY 2023, it is only expected to be a modest increase. In light of this, it appears to believe that its shares are overvalued at the current level. The Fisher & Paykel Healthcare share price is fetching $31.14 today.
Treasury Wine Estates Ltd (ASX: TWE)
Analysts at Citi have retained their sell rating but lifted the price target on this wine company’s shares to $9.70. This follows Treasury Wine’s investor day event last week. The broker notes that the company intends to reallocate some of its Chinese portfolio to the United States in an effort to drive sustainable growth over the long term. And although its guidance for FY 2021 was ahead of expectations, the broker notes that its longer term growth targets are not. As a result, it doesn’t appear to be in a rush to make a change to its recommendation. Particularly given the execution risks with its restructure. The Treasury Wine share price is trading at $11.22.
Where to invest $1,000 right now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.
*Returns as of February 15th 2021
- Exec jailed for ASX share market manipulation
- Why the Commonwealth Bank (ASX:CBA) share price is in the spotlight today
- Is there more upside to the CBA (ASX:CBA) share price following recent results?
- The latest ASX shares that top brokers have upgraded to “buy”
- Can China really crash the iron ore price?
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Treasury Wine Estates Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.