On Wednesday, we looked at three ASX shares that brokers have given buy ratings to this week. Unfortunately, not all shares are in favour with brokers right now.
Three ASX shares that have just been given sell ratings by brokers are listed below. Here's why they are bearish on them:
Commonwealth Bank of Australia (ASX: CBA)
According to a note out of Citi, its analysts have retained their sell rating and cut their price target on this banking giant's shares to $90.75. This was despite CBA delivering a first half profit that was well-ahead of Citi's expectations. The broker believes that the market may be too optimistic on the bank's margin outlook and notes that rate increases will take time to have a meaningfully positive impact. The CBA share price is trading at $100.32 on Thursday afternoon.
Mineral Resources Limited (ASX: MIN)
A note out of Ord Minnett reveals that its analysts have retained their sell rating and cut their price target on this mining and mining services company's shares to $45.00. This follows the release of a half year result that fell well short of the broker's expectations. And with the broker expecting iron ore prices to pullback in the coming months, it continues to believe that the company's shares are overvalued. The Mineral Resources share price is fetching $54.80 today.
Nanosonics Ltd (ASX: NAN)
Analysts at Goldman Sachs have retained their sell rating and cut their price target on this infection prevention company's shares. This follows news that the company's sales agreement with GE Healthcare has come to an end. The broker was surprised by the abruptness of the announcement, particularly given the importance of the relationship to Nanosonics. Overall, Goldman has concerns over the impact this will have on its sales and has downgraded its estimates accordingly. The Nanosonics share price is trading at $4.72 on Thursday.
