Yesterday we looked at three ASX shares brokers have given buy ratings to this week.
Unfortunately, not all shares are in favour with brokers right now. Three that have just been given sell ratings are listed below. Here's why these brokers are bearish on these ASX shares:
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Commonwealth Bank of Australia (ASX: CBA)
According to a note out of Citi, its analysts have retained their sell rating and $90.75 price target on this banking giant's shares. Citi has been looking at the banking sector and believes cash rate increases could support stronger than expected net interest margins in the near future. While this makes the broker bullish on a couple of the big four banks, it isn't enough for a more positive rating on CBA. It continues to see its shares as expensive. The CBA share price is trading at $106.09 on Tuesday.
Evolution Mining Ltd (ASX: EVN)
A note out of Credit Suisse reveals that its analysts have retained their underperform rating but lifted their price target on this gold miner's shares to $3.80. This follows a review of the resources sector which has seen the broker lift its gold price forecasts. However, while this has supported an increase in its valuation, it isn't enough for a change of rating. The Evolution share price is fetching $4.45 this afternoon.
Pro Medicus Limited (ASX: PME)
Analysts at Goldman Sachs have retained their sell rating and $44.80 price target on this health imaging technology company's shares. Goldman notes that Pro Medicus has signed a major $32 million eight-year deal with Inova Health System. While the broker was pleased with the deal, is a fan of the company, and is positive on its long term outlook, it believes its shares are expensive at 54x earnings. Particularly as it does not have sufficient visibility that recent win-rates can be sustained. The Pro Medicus share price is trading at $47.31 on Tuesday.
