On Monday 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 these ASX shares:
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Mineral Resources Limited (ASX: MIN)
According to a note out of Morgan Stanley, its analysts have retained their underweight rating but lifted their price target on this mining and mining services company's shares slightly to $23.50. This follows the release of a quarterly update that fell short of the broker's expectations. In light of this and its valuation, which it has previously noted looks stretched, it holds firm with its bearish rating. The Mineral Resources share price is trading at $25.46 this afternoon.
National Australia Bank Ltd (ASX: NAB)
A note out of the Macquarie equities desk reveals that its analysts have retained their underperform rating and $17.50 price target on this banking giant's shares. This follows the release of an update on a number of notable items that will impact its full year results. Outside this, it notes that it has exposure to the small to medium sized business market, which it feels is a risky area in the current environment. In light of this, it suspects its shares could underperform over the next 12 months. The NAB share price is fetching $19.02 on Tuesday.
Premier Investments Limited (ASX: PMV)
Analysts at Goldman Sachs have downgraded this retailer's shares to a sell rating but lifted their price target on them to $19.20. According to the note, the broker points out that Premier Investments is trading on significantly higher multiples than any time over the last decade. It is also at the high end in comparison to global apparel peers. It also has concerns over the sustainability of the current low expense profile and the economic recovery impact on the apparel category. The Premier Investments share price is changing hands for $21.76 today.
