Leading brokers name 3 ASX shares to sell today

Australia and New Zealand Banking Group (ASX:ANZ) shares are one of three that leading brokers have named as sells…

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

On Tuesday I looked at three ASX shares that have been given buy ratings by leading brokers this week.

Unfortunately, not all shares are in favour with brokers right now. The three shares listed below have all just been given sell ratings. Here's why they are bearish on them:

Australia and New Zealand Banking Group (ASX: ANZ)

According to a note out of Credit Suisse, its analysts have retained their underperform rating and $27.80 price target on this banking giant's shares. The note reveals that the broker was a touch surprised with the level of ANZ's customer remediation. This is because it was under the impression these activities had progressed further. In addition to this, its analysts continue to believe there will be pressure on its margins and earnings in the near term. However, it is worth noting that the ANZ share price has now dropped below this price target. This afternoon it is down over 1% to $27.07.

Fortescue Metals Group Limited (ASX: FMG)

A note out of Morgan Stanley reveals that its analysts have retained their underweight rating and $7.85 price target on this iron ore producer's shares. According to the note, it continues to be bearish on Fortescue's shares despite news that it is bidding for blocks at the Simandou iron ore deposit in Guinea. Whilst this has the potential to be a positive over the long term, it doesn't change the fact that its shares are trading notably higher than its price target today. The broker has also previously suggested that iron ore prices could weaken in 2020 as supply grows. The Fortescue share price is down 2% to $8.57 today.

Magellan Financial Group Ltd (ASX: MFG)

Analysts at UBS have retained their sell rating but lifted the price target on this fund manager's shares to $46.60. According to the note, the broker has lifted its earnings estimates for Magellan following its strong first quarter update. However, it continues to believe its valuation is stretched. For this reason, it has retained its sell rating. The Magellan share price is down almost 2% to $48.38 on Wednesday.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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.

More on Share Market News

A happy young couple lie on a wooden deck using a skateboard for a pillow.
Share Gainers

These were the best-performing ASX 200 shares in March

These shares made their shareholders smile in March thanks to some very big gains.

Read more »

Businessman using a digital tablet with a graphical chart, symbolising the stock market.
Opinions

2 ASX shares I have been buying in 2024!

I’m a believer in the long-term outlook of these stocks.

Read more »

Stock market chart in green with a rising arrow symbolising a rising share price.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a massive day for the ASX 200, with a new all-time high recorded.

Read more »

A man sits thoughtfully on the couch with a laptop on his lap.
Technology Shares

This ASX tech stock rocketed 60% in March! Can it keep on delivering?

After soaring in March, the ASX tech stock is now up 169% since this time last year.

Read more »

Broker Notes

Brokers name 3 ASX shares to buy now

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A young man clasps his hand to his head with his eyes closed and a pained expression on his face as he clasps a laptop computer in front of him, seemingly learning of bad news or a poor investment.
Share Fallers

Why Burgundy Diamond Mines, Clarity Pharmaceuticals, EML, and Zip are sinking today

These ASX shares are ending the week in the red. But why?

Read more »

A young women pumps her fists in excitement after seeing some good news on her laptop.
Share Gainers

Why Mesoblast, Newmont, Pilbara Minerals, and Platinum shares are jumping

These ASX shares are ending the week strongly. But why?

Read more »

a young boy dressed up in a business suit and tie has a cute grin and holds two fingers up.
Opinions

2 of my top ASX 200 shares to consider buying before April

I would happily exchange dollars for these two shares right now.

Read more »