Insights

Leading brokers name 3 ASX shares to sell today

Here’s why brokers are bearish on these ASX shares…
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:

A2 Milk Company Ltd (ASX: A2M)

According to a note out of Credit Suisse, its analysts have retained their sell rating but lifted their price target on this fresh milk and infant formula company’s shares to $5.50. The broker has increased its earnings estimates slightly to reflect better than expected demand for infant formula. However, despite this, its earnings estimates are below consensus. In addition, the broker has concerns over its daigou sales and a lack of product differentiation. The a2 Milk share price is fetching $6.69 today.

Commonwealth Bank of Australia (ASX: CBA)

A note out of Morgans reveals that its analysts have retained their reduce rating with an improved price target of $76.00. The broker is positive on the banks and expects better than expected net interest margins, cost reductions, and buybacks to be supportive. However, due to valuation reasons, the broker is holding firm with its reduce rating on CBA’s shares. It believes the multiples its shares are trading on are stretched. The CBA share price is trading at $98.77 today.

Magellan Financial Group Ltd (ASX: MFG)

Analysts at Morgan Stanley have retained their underweight rating and $39.60 price target on this fund manager’s shares. According to the note, the broker sees downside risk to fund inflows in FY 2022 and doesn’t believe this is being reflected in its share price. In addition to this, the broker believes its performance has been soft and notes that its shares are among the most expensive in the industry globally. The Magellan share price is trading at $53.80 on Tuesday.

The post Leading brokers name 3 ASX shares to sell today appeared first on The Motley Fool Australia.

Wondering where you should 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 could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of May 24th 2021

More reading

Forget CBA! Here are the 5 best performing ASX bank shares of FY21

Here’s what leading brokers are saying about the Commonwealth Bank of Australia (ASX:CBA) share price in July 2021.
A2 Milk (ASX:A2M) share price falling despite trademark settlement
2 fallen stars of ASX now worth buying: experts

PEXA (ASX:PXA) share price jumps to new heights on first ‘normal’ trading day

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended A2 Milk. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!