On Wednesday, we looked at three ASX shares that brokers have given buy ratings to this week. Unfortunately, not all shares are in favour with brokers right now.
Three ASX shares that have just been given sell ratings by brokers are listed below. Here's why they are bearish on them:
Nanosonics Ltd (ASX: NAN)
According to a note out of Goldman Sachs, its analysts have retained their sell rating and cut their price target on this infection prevention company's shares to $3.40. Goldman Sachs has concerns over the company's transition away from GE Healthcare to a new direct sales model. It suspects the GE de-stocking cycle could extend into FY 2023, has concerns that not all GE customers will transition in a timely manner, and sees potential for cost lumpiness. The Nanosonics share price is trading at $3.99 today.
Woolworths Group Ltd (ASX: WOW)
A note out of UBS reveals that its analysts have retained their sell rating and cut their price target on the retail giant's shares to $34.00. This follows the release of half year results that were largely in line with expectations. However, the broker feels that the market may be expecting too much from Woolies in the future and thus doesn't see value in its shares at the current level. The Woolworths share price is fetching $35.69 on Thursday.
Worley Ltd (ASX: WOR)
Analysts at Credit Suisse have downgraded this engineering company's shares to an underperform rating with an improved price target of $10.60. According to the note, the broker felt that Worley's half year results were a bit of a mixed bag. In light of this, it doesn't believe the company is well-placed to achieve full year expectations and justify its current valuation. The Worley share price is trading at $11.81 today.
