On Wednesday I looked at three ASX shares that brokers have given buy ratings to this week.
Unfortunately, not all shares are in favour with brokers and been given the coveted buy rating.
The three shares listed below are all out of favour and have been given the unwanted sell rating this week. Here's why:
Evolution Mining Ltd (ASX: EVN)
According to a note out of Credit Suisse, its analysts have retained their underperform rating and $2.55 price target on this gold miner's shares following its first half results release. In the first half of FY 2019 Evolution posted an underlying net profit after tax of $92.2 million, down from $124.7 million in the prior corresponding period. This was in line with the broker's expectations, as was the full year guidance that remained unchanged. As a result, Credit Suisse has retained its underperform rating on valuation grounds.
SEEK Limited (ASX: SEK)
A note out of Citi reveals that its analysts have retained their sell rating and cut the price target on the job listings company's shares by 4% to $15.85. According to the note, the broker made the move after its research showed that Australian job advertisements fell for the third month in a row in January. Furthermore, the broker notes that the decline has got worse thus far in February. Citi remains concerned that this is the start of a sustained downturn. The broker has reduced its forecasts accordingly, leading to a reduction in its price target.
Telstra Corporation Ltd (ASX: TLS)
Analysts at Macquarie have retained their underperform rating and $2.80 price target on this telco giant's shares following the release of its half year results. According to the note, Telstra's result and dividend was largely in line with its expectations. And although the broker notes that its Mobile business remains strong, it feels that it is still too soon to make any changes to its recommendation.
