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:
Mineral Resources Limited (ASX: MIN)
According to a note out of Morgan Stanley, its analysts have retained their underweight rating and $30.20 price target on this mining and mining services company’s shares. This follows the release of a mixed second quarter update. Morgan Stanley appears disappointed with Mineral Resources’ iron ore and lithium shipments during the quarter. In light of this and its belief that its valuation is stretched, it has held firm with its underweight rating. The Mineral Resources share price is trading at $36.36 this afternoon.
Sims Ltd (ASX: SGM)
Analysts at Goldman Sachs have downgraded this scrap metal company’s shares to a sell rating with an improved price target of $11.38. According to the note, the broker notes that steel prices have been retreating after strong gains in recent months. This is being driven by an improvement in supply. Goldman expects this to continue and for market dynamics and pricing to normalise in 2021. The Sims share price is fetching $12.60 on Tuesday.
Sydney Airport Holdings Pty Ltd (ASX: SYD)
A note out of Credit Suisse reveals that its analysts have retained their underperform rating but lifted the price target on this airport operator’s shares to $5.00. Credit Suisse is expecting international passenger numbers to remain at ultra low levels in 2021. This is because the broker suspects that Australia will not reopen international borders until enough of the population is vaccinated. In light of this, it expects its earnings to fall well short of consensus estimates for the year. The Sydney Airport share price is trading at $5.82 today.
Where to invest $1,000 right now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.
*Returns as of June 30th
More reading
- ASX 200 Weekly Wrap: Reality (and GameStop) finally hits ASX
- The latest ASX stocks to be hit by broker downgrades
- ASX 200 Weekly Wrap: Change in America spurs ASX 200 higher
- ASX 200 rises 0.4%
- Is the Sydney Airport (ASX:SYD) share price good value?
Motley Fool contributor James Mickleboro 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 Bruce Jackson.
The post Leading brokers name 3 ASX shares to sell today appeared first on The Motley Fool Australia.
from The Motley Fool Australia https://ift.tt/2NWMC2q
Leave a Reply