ASX 200 financials was the best sector of FY25. But it's time to sell these 2 stocks, say experts

The ASX 200 financials sector gave investors a near-30% total return in the 2025 financial year.

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The ASX 200 financials sector was the top-performing market sector of FY25.

The S&P/ASX 200 Financials Index (ASX: XFJ) rose by 24.45% and delivered total returns, including dividends, of 29.39%.

This compares to a 9.97% lift for the benchmark S&P/ASX 200 Index (ASX: XJO), with total returns coming in at 13.81%.

The following two ASX 200 financial stocks had a great run last year, but experts are calling time on them now.

Time to sell these 2 ASX 200 financial stocks: experts

Commonwealth Bank of Australia (ASX: CBA)

CBA is the biggest stock in the ASX 200 financial sector with a market capitalisation of $298 billion.

The ASX 200 banking giant rose by 45% in FY25 to close at $185 per share on 30 June.

CBA hit a record share price of $192 a few days earlier.

The CBA share price is currently $174.45.

On The Bull this week, Dylan Evans from Catapult Wealth said CBA shares had "performed exceptionally well for investors".

Evans noted CBA's unaudited cash net profit after tax of $2.6 billion for 3Q FY25, up 6% on the prior corresponding period.

But he has a sell rating on this ASX 200 financial stock now.

Evans explains:

CBA is unquestionably a quality business, but the valuation, in our view, still appears stretched.

CBA now trades at more than twice the price/earnings ratio of competitor ANZ Group Holdings Ltd (ASX: ANZ).

CBA was recently trading on a modest annual dividend yield of 2.67 per cent.

Other stocks offer better value, in our view, given CBA's lofty share price.

Computershare Ltd (ASX: CPU)

Stock in share registry services company, Computershare, gained 51% in value over FY25.

The Computershare share price finished the financial year at $39.89.

It hit a record share price of $43.23 on 20 February.

At the time of writing, Computershare is trading at $41.22 per share.

Damien Nguyen from Morgans said Computershare is "well managed and a consistent performer".

However, he describes the stock's recent price growth as "relatively flat".

With more interest rate cuts likely, especially after last week's weaker-than-expected jobs data, Nguyen has a sell rating on this ASX 200 financial stock.

He explains:

As we anticipate moving into a lower interest rate environment, earnings growth may come under pressure as its margin income shrinks on client cash balances.

We suggest existing investors who have done well out of CPU to consider selling and rotating into stocks with stronger upside potential.

Motley Fool contributor Bronwyn Allen 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 has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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