Analysts name 3 ASX shares to sell now

Knowing which ASX shares to avoid is just as important as knowing which ones to buy.

After all, owning the wrong shares could hold back your portfolio returns and limit your wealth creation.

With that in mind, let’s take a look at three ASX shares analysts rate as sells, courtesy of The Bull. Here’s what they are saying:

Lynas Rare Earths Ltd (ASX: LYC)

The team at Ord Minnett thinks that this rare earths producer’s shares are overvalued despite a recent pullback. They said:

Lynas is the only significant producer of separated rare earths materials outside of China. Gross sales revenue of $200.2 million in the first quarter of fiscal year 2026 was up on the prior quarter and the prior corresponding period, but missed consensus. The shares have fallen from $21.64 on October 15 to trade at $15.51 on November 19. In our view, the shares remain overvalued, so investors may want to consider cashing in some gains.

Paladin Energy Ltd (ASX: PDN)

Another ASX share that has been named as a sell by analysts this week is Paladin Energy.

Ord Minnett is also bearish on this one and thinks that its valuation has outpaced its fundamentals. It said:

This uranium producer owns 75 per cent of the Langer Heinrich mine in Namibia. It also owns uranium exploration and development assets in Australia and Canada. The company delivered record production in the September quarter, but sales volumes fell on the previous quarter and prior corresponding period.  Despite a decent result, PDN’s share price recently doubled in the past six months and has outpaced its fundamentals.

Starpharma Holdings Ltd (ASX: SPL)

A third ASX share that is being rated as a sell is biotechnology company Starpharma.

Analysts at Securities Vault think investors should be selling its shares after a “rapid” rise this year, which as seem them rise over 200% in 2025. They said:

Starpharma is a biotechnology company. The company has developed a drug delivery platform to enhance the effectiveness of pharmaceutical drugs. It recently received an upfront payment of $A8.5 million from Genentech in line with a recently announced licence agreement. The shares have performed strongly, rising from 13 cents on September 19 to trade at 39.5 cents on November 19. The company’s valuation sits at a steep premium relative to peers, indicating lofty expectations are already priced in. The company reported a loss of $10 million in full year 2025. In our view, trimming or exiting positions is prudent given the rapid share price rise.

The post Analysts name 3 ASX shares to sell now appeared first on The Motley Fool Australia.

More reading

• What’s going on with Lynas Rare Earths shares today?
• Should you buy Mesoblast, Paladin Energy, and Xero shares?
• How this new development could drive the next big boost for ASX rare earths stocks like Lynas
• These are the 10 most shorted ASX shares
• Why are ASX uranium stocks like Paladin Energy going gangbusters on Thursday?

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 recommended Lynas Rare Earths Ltd. 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.