The Motley Fool

Top brokers name 3 ASX shares to sell today

On Thursday 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 them:

Commonwealth Bank of Australia (ASX: CBA)

According to a note out of the Macquarie equities desk, its analysts have retained their underperform rating and $71.00 price target on this banking giant’s shares. Macquarie remains bearish on CBA despite APRA’s latest update on capital requirements. This is due to its concern that the major banks will have to increase their capital positions to satisfy the requirements of the Reserve Bank of New Zealand. In addition to this, the broker expects competition for mortgages to become fierce. The CBA share price is down 1% to $79.59 this afternoon.

Treasury Wine Estates Ltd (ASX: TWE)

Analysts at Goldman Sachs have retained their sell rating and $13.70 price target on this wine company’s shares after looking through the latest industry data. According to note, the date reveals that the trends across the wine company’s key markets remain generally subdued. The broker has also previously spoken about concerns over the increasing risk on its working capital/cash conversion ratio and its growing reliance on new brands and regional products for earnings growth from FY 2020 onwards. The Treasury Wine Estates share price has fallen 1% to $15.07 today.

Wesfarmers Ltd (ASX: WES)

A note out of Citi reveals that its analysts have retained their sell rating but increased the price target on this conglomerate’s shares ever so slightly to $29.20 following its trading update on Thursday. That update revealed that both its Kmart and Target businesses have underperformed expectations in the second half due to tough trading conditions. Citi notes that the company did not benefit from a post-election rebound in sales and appears concerned with its increasing wage costs. The Wesfarmers share price is down over 1% to $35.83 on Friday afternoon.

CBA may have been rated as a sell, but this bank share has just been given a buy rating.

The Motley Fool’s #1 BANK STOCK for 2019

BRAND NEW! For a limited time, The Motley Fool Australia is giving away an urgent new investment report with all the details on our #1 BANK STOCK for the next 12 months and beyond…

Now, if you’ve been around this site for any length of time, you know The Motley Fool usually shuns bank shares.

But we’ve recently discovered a ‘hidden in plain sight’ bank stock with what we think is mouth-watering potential.

With the company boasting nearly 25% net profit growth every year for the last 5 YEARS…

And the shares paying a fully franked dividend that beats the pants off term deposits!

So if you like steady, high-growth income plays – we’ve got you covered!

You’re invited. Simply click the link below to discover our #1 ASX bank stock to profit in 2019. To scoop up your FREE copy, simply click the link below right now. But you will want to hurry – this free report is available for a brief time only.


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 and Wesfarmers Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

One ASX Stock For An Estimated $US22 Billion Marijuana Market

A little-known ASX company just unlocked what some experts think could be the key to profiting off the coming marijuana boom.

And make no mistake – it is coming. To the tune of an estimated $US22 billion.

Cannabis legalisation is sweeping over North America, and full legalisation arrived in Canada in October 2018.

Here’s the best part: we think there’s one ASX stock that’s uniquely positioned to profit immensely from this explosive new industry… taking savvy investors along for what could be one heck of a ride.

AND, this is the first time The Motley Fool Australia has EVER put a BUY recommendation on a marijuana stock.

Simply click below to learn more on how you can profit from the coming cannabis boom.

Click here to find out more