Yesterday I looked at three ASX shares brokers have given buy ratings to this week.
Unfortunately, not all shares are in favour with them right now. Three ASX shares that have just been given sell ratings by brokers are listed below. Here's why these brokers are bearish on them:
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Commonwealth Bank of Australia (ASX: CBA)
According to a note out of Morgan Stanley, its analysts have an underweight rating and $90.00 price target on this banking giant's shares. The broker has been looking into the banking sector and believes Australia may need to take macroprudential measures to slow the build-up of household debt relative to income. It believes this could result in a slowdown in loan growth. As a result, it doesn't appear to be in a hurry to change its rating on the shares of Australia's largest bank. The CBA share price is trading at $100.91 on Thursday.
Premier Investments Limited (ASX: PMV)
A note out of Goldman Sachs reveals that its analysts have a sell rating and $21.10 price target on this retail conglomerate's shares. While the broker has only had a quick look at the retailer's full year results this morning, it looks unlikely to change its rating after a proper review. Goldman notes that Premier Investments fell short of its sales, earnings, and dividend estimates for FY 2021. The broker also has concerns over the slow recovery of the Smiggle business. The Premier Investments share price is fetching $27.61 today.
Vicinity Centres (ASX: VCX)
Another note out of Morgan Stanley reveals that its analysts have retained their underweight rating and $1.59 price target on this shopping centre operator's shares. This follows a look at the REIT sector following a series of recent takeover offers for infrastructure companies. While the broker does see takeover appeal, it isn't enough for a change of rating. The Vicinity share price is trading at $1.70 on Thursday.
