On Wednesday 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 them:
Magellan Financial Group Ltd (ASX: MFG)
According to a note out of Credit Suisse, its analysts have downgraded this fund manager's shares to an underperform rating from neutral but lifted the price target on them to $42.90. Whilst the broker has been impressed with Magellan's performance this year and has revised its earnings forecasts to reflect its positive outlook, it notes that its shares are trading significantly higher than its price target. The Magellan share price has climbed 0.3% higher to $61.24 this afternoon.
Regis Resources Limited (ASX: RRL)
A note out of the Macquarie equities desk reveals that its analysts have downgraded this gold miner's shares to an underperform rating and slashed the price target on them to $5.10. According to the note, the broker made the move in response to Regis Resources' recent update. Although the company's production was in line with expectations, the broker was disappointed with its costs. And with costs expected to rise in FY 2020, Macquarie appears to believe now is the time to get out of this one. The Regis Resources share price is down 0.5% to $5.68 today.
Treasury Wine Estates Ltd (ASX: TWE)
Analysts at Citi have retained their sell rating and $14.90 price target on this wine company's shares. According to the note, the broker believes that Treasury Wine Estates will deliver a strong full year result next month thanks to solid sales of its premium portfolio in the China market. However, the broker notes that the company is losing market share in the United States and continues to believe that its shares are expensive compared to its peers. This afternoon the Treasury Wine Estates share price has pushed 2% higher to $17.25.
