Top brokers name 3 ASX 200 shares to sell today

Top brokers have named Afterpay Ltd (ASX:APT) and these ASX 200 shares as sells this week. Here's why…

| 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 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:

Afterpay Ltd (ASX: APT)

According to a note out of UBS, it has downgraded this payments company's shares to a sell rating with a $13.00 price target. Although Afterpay's third quarter update was in line with its expectations, it appears concerned by the unknown impacts of the coronavirus pandemic. It also fears that the company will have to sacrifice growth in order to manage bad debts. The Afterpay share price is changing hands at $27.81 this afternoon.

Magellan Financial Group Ltd (ASX: MFG)

Analysts at Morgan Stanley have retained their underweight rating and cut the price target on this fund manager's shares to $40.00. According to the note, the broker feels that Magellan's shares deserve to trade at a premium to its peers, but not to the extent they are trading at currently. It also believes that retail inflows will be softening in the current environment and has downgraded its earnings estimates to reflect this. Magellan's shares are trading at $48.53 this afternoon.

ResMed Inc. (ASX: RMD)

A note out of the Macquarie equities desk reveals that its analysts have retained their underperform rating and lifted the price target on this medical device company's shares to $18.60. According to the note, while ResMed is benefiting from increasing ventilator sales because of the pandemic, it fears that this will be offset by a reduction in new sleep apnoea patients and sleep treatment product sales. Overall, it sees downside risk to its earnings at present. Something which it feels the market is not factoring in. ResMed's shares are changing hands for $24.99 on Wednesday.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended ResMed Inc. 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 »