On Monday 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:
Fisher & Paykel Healthcare Corp Ltd (ASX: FPH)
According to a note out of Citi, its analysts have retained their sell rating but lifted their price target on this medical device company's shares to NZ$17.75 (A$16.92). Although Fisher & Paykel's first half results were in line with expectations and the broker sees opportunities for its Optiflow product to grow its market share strongly in the future, it wasn't enough for a change in rating. Citi continues to believe that Fisher & Paykel's shares are overvalued at the current level. They are down 3% at $20.23 this afternoon.
Treasury Wine Estates Ltd (ASX: TWE)
A note out of Goldman Sachs reveals that its analysts have retained their sell rating but lifted the price target on this wine company's shares to $15.30. According to the note, recent data shows that the company's sales in the US wine market are softening. Goldman also notes that export data is unfavourable. Both Australian alcohol exports and Chinese wine import data continue to deteriorate and are turning negative on a two-year CAGR basis. The Treasury Wine share price is down 3% to $17.94 today.
Woolworths Group Ltd (ASX: WOW)
Analysts at Credit Suisse have retained their sell rating but lifted the price target on this retail conglomerate's shares to $35.63. According to the note, the broker has been running the rule over its proposed demerger of the Endeavour Drinks business. Credit Suisse appears to believe that the demerger would create value, but not enough for a change in rating. The Woolworths share price is down 2.5% to $38.70.
