Yesterday I looked at three ASX shares brokers have given buy ratings to this week.
Unfortunately, not all shares are in favour with them right now. Three ASX shares that have just been given sell ratings by brokers are listed below. Here's why these brokers are bearish on them:
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Lendlease Group (ASX: LLC)
According to a note out of Morgan Stanley, its analysts have downgraded this engineering company's shares to an underweight rating and reduced the price target on them to $11.40. The broker has concerns over whether Lendlease's longer term production targets are sustainable and sees limited upside in the near term. The Lendlease share price is trading at $11.26 today.
Macquarie Group Ltd (ASX: MQG)
A note out of Citi reveals that its analysts have retained their sell rating but lifted their price target on this investment bank's shares to $153.00. This follows the release of a decent trading update this week which revealed that a better than expected performance is being forecast by management. However, the broker holds firm with its sell rating on valuation grounds. It feels the company's shares are expensive at the current level. The Macquarie share price is fetching $177.34 on Thursday.
Pro Medicus Limited (ASX: PME)
Analysts at Goldman Sachs have downgraded this health imaging technology company's shares to a sell rating with a slightly reduced price target of $54.00. According to the note, the broker was pleased with Pro Medicus' performance in FY 2021. And although it believes the company is well-placed to continue its strong growth, it feels its valuation is getting stretched. Goldman notes there is insufficient visibility to justify a 63x forward sales multiple. The Pro Medicus share price is trading at $58.50.
