Woolworths Group Ltd (ASX: WOW), NextDC Ltd (ASX: NXT), and Telstra Group Ltd (ASX: TLS) shares have all caught investor attention recently.
Here's the latest out of the ASX shares, and whether brokers rate them a buy, sell, or hold.
Brokers rate Woolworths shares as a SELL
Woolworths shares have softened slightly in Tuesday morning trade, down around 0.1% to $42.42 apiece, following an all-time closing high of $42.47 on Monday afternoon.
The supermarket giant's shares have rallied strongly through 2026 so far. The increase is supported by an investor rotation towards defensive shares amid market volatility, and the company's strong operational performance.
Woolworths is a household name and dominant ASX sharemarket player. The company has a supermarket duopoly in Australia alongside rival Coles Group Ltd (ASX: COL) and an expansive network of stores across multiple locations.
The company is a classically defensive stock. As a retailer of essential goods, mostly food, toiletries and other items, the company can act as a potential buffer against an economic downturn and a safe haven amid wider economic anxiety.
In late August, Woolworths posted an impressive FY26 update. The result including a 3.6% year-on-year increase in sales and a 6.7% increase in EBITDA (before significant items).
But after the latest highs, the stock is trading at a high price-to-earnings (P/E) ratio of around 46 times and it looks like some experts are concerned that the shares are now overpriced.
Market Index data shows the majority (three out of five) have a sell rating on the shares. The $38.78 average target price implies a downside of around 9% at the time of writing.
Brokers rate Telstra shares as a HOLD
Telstra shares have slid around 0.5% in Tuesday morning trade, to $5.04 apiece.
The shares fell around 9% to an annual low in late-August following its disappointing FY26 results earlier the same month. But they've now recovered around 10% between that low and the time of writing.
The announcement included a 0.8% decline in revenue and a 4.4% increase in underlying earnings and came around the same time the telco suffered a major nationwide network outage, smashing investor confidence.
There hasn't been any price-sensitive news out of the company since its results announcement. It looks like the latest rebound is sentiment-driven instead.
Like Woolworths, Telstra is a classic defensive stock and has benefitted from a recent rotation back towards secure assets amid renewed inflation concerns and the latest interest rate hike.
Telstra's primary offerings, being mobile network services and internet connectivity, are considered an essential service and will likely experience steady demand regardless of the health of our economy.
But the experts are split about where the shares could go next.
Market Index data shows the majority (five out of seven) brokers have a hold rating on the telco's shares. The average $5.06 target price implies a small potential upside of around 0.5% at the time of writing.
Brokers rate NextDC shares as a BUY
NextDC shares are jumping higher this morning. At the time of writing the shares are up around 1% to $10.67 each.
The data centre operator was shoved into the spotlight in mid-October after a market update saw a huge share selloff, which wiped around 42% off its value off the table within a couple of days.
But at the time of writing, the shares have rallied higher, recovering those losses. NextDC shares are now trading 17% higher than pre-announcement.
The downturn occurred following the data centre operator's update to the market. The company told investors it had suffered a delay in delivering electricity to its M3 Melbourne data centre. Management substantially lowered its FY27 guidance figures as a result.
The update spooked investors. But it looks like many quickly realised that the sell-off was overdone and bargain-hunting investors stepped back in to snap up the stock for cheap.
The experts are still bullish that NextDC shares can rally a lot higher over the next 12 months.
Market Index data shows the majority (four out of six) still have a buy rating on the technology shares. The $15.58 average target price implies a potential upside of around 46% at the time of writing.
The post Woolworths, NextDC, Telstra shares: Buy, sell, or hold? appeared first on The Motley Fool Australia.
Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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