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 them right now. Three that have just been given sell ratings are listed below.
Here's why these brokers are bearish on them:
Cochlear Limited (ASX: COH)
According to a note out of UBS, it has retained its sell rating and $195.00 price target on this hearing solutions company's shares. The broker has doubts over the market's expectations over the medium term and feels that current trends point to it falling short of them. UBS also points out that any benefit from the recent product recall by Advanced Bionics looks set to be limited due to the deferral of surgeries because of the coronavirus outbreak. Cochlear's shares are changing hands at $212.18 on Thursday afternoon.
Commonwealth Bank of Australia (ASX: CBA)
Another note out of UBS reveals that its analysts have retained their sell rating and trimmed the price target on this banking giant's shares to $71.00. According to the note, the broker made the move after reducing its earnings estimates for the bank in response to the cash rate cut. UBS also forecasts another cut next month, which it expects to weigh on its net interest margin. Overall, while the banks look cheap, it fears this may be the new normal. The CBA share price is down slightly to $76.64 this afternoon.
Goodman Group (ASX: GMG)
Analysts at Goldman Sachs have downgraded this global integrated property group's shares to a sell rating and trimmed the price target on them to $12.91. According to the note, Goldman notes that the company's shares have re-rated materially over the last few years. And while it believes the structural demand drivers that have supported its strong form remain intact, it expects the coronavirus to disrupt its business and weigh on its earnings in the short term. Goodman Group's shares are up at $15.60 on Thursday.
