Leading brokers name 3 ASX shares to sell today

Here’s why brokers are bearish on these ASX shares…

| More on:
Business man marking Sell on board and underlining it

Image Source: Getty Images

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 that have just been given sell ratings are listed below. Here’s why these brokers are bearish on these ASX shares:

Coles Group Ltd (ASX: COL)

According to a note out of UBS, its analysts have retained their sell rating and $16.50 price target on this supermarket giant’s shares. Although Coles delivered a better than expected first quarter sales update, the broker believes the outlook for food sales in Australia is weakening. In light of this, UBS now has a negative view on the sector as a whole and not just Coles. The Coles share price is fetching $17.17 on Tuesday.

Commonwealth Bank of Australia (ASX: CBA)

A note out of Goldman Sachs reveals that its analysts have retained their sell rating and $84.40 price target on this banking giant’s shares. Goldman has been looking through recent data provided by APRA. And while CBA leads the major banks in both housing lending and retail deposits growth, it isn’t enough for a more positive rating. The broker has previously stated that it believes the CBA share price is severely overvalued at 21x estimated FY 2022 earnings. The CBA share price is trading at $105.26 today.

IGO Ltd (ASX: IGO)

Analysts at Morgan Stanley have retained their underweight rating and $8.25 price target on this battery materials mining company’s shares. This follows the release of its latest quarterly update. While that update revealed that the miner’s production is on target in FY 2022, its costs were higher than the broker was expecting. In light of this, Morgan Stanley isn’t in a hurry to change its rating and continues to believe IGO’s shares are overvalued at the current level. The IGO share price is fetching $9.19 this afternoon.

Should you invest $1,000 in CBA right now?

Before you consider CBA, you'll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and CBA wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of January 13th 2022

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended COLESGROUP DEF SET. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Broker Notes

a businessman in a suit tries to forge ahead but is carrying a rope attached to a large anchor that is stuck in the ground against a background of muted sky and barren earth.
Broker Notes

What’s dragging on the Wesfarmers share price on Monday?

We check what one leading broker has to say about the retail giant's prospects.

Read more »

Two medical researchers in white coats collaborate over a computer screen of data in a medical research laboratory
Broker Notes

Where next for the CSL share price?

CSL shares could be heading higher according to one leading broker...

Read more »

Woman on her laptop thinking to herself.
Broker Notes

2 ASX All Ordinaries shares top brokers rate as buys

Here are the latest buy-rated shares from two leading brokers.

Read more »

A woman sits at her computer with hand to mouth and a contemplative smile on her face although she is considering or thinking about information she is seeing on the screen.
Broker Notes

Brokers: 2 ASX 200 shares that could be top buys for growth

Brokers think these ASX 200 shares with growth potential could be leading opportunities.

Read more »

ASX shares Business man marking buy on board and underlining it
Broker Notes

Leading brokers name 3 ASX shares to buy today

Here's why brokers rate these ASX shares as buys...

Read more »

outperforming asx share price represented by row of white eggs with cartoon sad faces with one gold egg with happy face and crown
Broker Notes

This is the best ASX bank share to buy in a rising rate environment: Citi

Only one major bank is sticking to its cost-savings goals, according to the broker.

Read more »

A woman sits at her computer in deep contemplation with her hand to her chin and seriously considering information she is receiving from the screen of her laptop regarding the Xero share price
Broker Notes

Is the Fortescue share price cheap after dropping 10% in a month?

We check what brokers have to say on the iron ore giant.

Read more »

A business man in soft-focus holds two fingers in the air in the foreground of the shot as he stands smiling in the background against a clear sky.
Broker Notes

Buy these 2 ASX shares on sale right now: top broker

A top broker has revealed two ASX shares which have fallen heavily but look like good buys.

Read more »