Get your portfolio moving with these 3 blue-chip shares

Credit: niconico0

Australia’s new vehicle sales are on the rise.

Source: ABS

Source: ABS

As the above data from the Australian Bureau of Statistics shows, new vehicle sales showed no signs of slowing down in recent years, and in March 2016 rose 0.1% over the prior month.

At the same time, there are uncertainties regarding future new vehicle sales growth and the companies which are benefitting from the current trend. For example, lower tariffs on imports of luxury cars, increasing competition between large dealer groups and more brands on offer will have an effect on the industry.

Nonetheless, the long-term tailwind of growth in new car sales is a boon for some ASX-listed blue-chip shares.

For example, Automotive Group Holdings Ltd (ASX: AHG) and AP Eagers Ltd (ASX: APE) are relishing the growth. Respectively, they are Australia’s largest and oldest listed automotive groups. AHG also provides freight services through well-known brands like Scott’s, Rand, Harris and more. Both companies have a track record of paying fully franked dividends.

Another automotive business going from strength to strength and benefitting immensely from more vehicles on the road is Burson Group Ltd (ASX: BAP). It’s the leading aftermarket parts business, servicing large and small workshops and repair specialists.

Foolish takeaway

There are few industries exhibiting the same heady growth as the automotive industry. While astute investors should do more in-depth research into the industry and its participants before buying shares, the above three companies appear worthy of a spot on investors’ watch lists, at least.

I like automotive shares, however, personally, I'd rather look for other - faster growing - dividend shares to add to my portfolio, such as the one The Motley Fool's expert analysts hand-picked as their best dividend share idea for 2016.

Indeed, our resident dividend experts named their Top Dividend Share for 2016. Not only are the shares dirt cheap, the company is growing and trading on a 5.6% fully franked dividend yield. Simply click here to gain access to this comprehensive FREE investment report, including the name of this fast growing ASX dividend share. No credit card required!

Motley Fool Contributor Owen Raszkiewicz does not have a financial interest in any company mentioned. Owen welcomes -- and encourages -- your feedback on Google+, LinkedIn or you can follow him on Twitter @ASXinvest.

The Motley Fool Australia owns shares of Burson. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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