3 top-notch shares you must have on your watch list

Finding high-quality shares at reasonable prices is no easy task at the moment.

Many of the best-performing companies are trading on extraordinarily high valuations which can expose new investors to an unacceptable level of risk.

Instead of rushing out and chasing these shares, it might be better to remain patient and wait for a more attractive entry point.

With that in mind, here are thee shares I would love to buy – but only at cheaper prices:

Corporate Travel Management Ltd (ASX: CTD)

The Corporate Travel Management share price has absolutely smashed it over the past five years and it is not surprising when you consider the huge level of earnings growth the travel company has achieved through the combination of organic growth and earnings accretive acquisitions. However, at around 35x earnings, the shares are looking fully valued especially since the company will find it more difficult to generate huge levels of growth without bigger and bigger acquisitions.

Aristocrat Leisure Limited (ASX: ALL)

Aristocrat continues to surprise the market with stronger-than-expected results and this has seen its share price double over the past 12 months alone. The gaming company enjoys a rock-solid market position in established regions, but is also generating strong growth from new segments such as online gaming. Aristocrat shares are currently trading on around 26x forecast earnings which I think is more than fair for a company that is expected to grow its bottom line between 20% to 30% this financial year.

CSL Limited (ASX: CSL)

The CSL share price has rallied around 30% for the year-to-date and is currently trading at all-time record highs of around $130 per share. While I would not be surprised to see the shares continue to rally from here, I think CSL is the type of share that often presents temporary buying opportunities for the patient investor. As a result, I would prefer to wait for the market to take some profits before buying this leading healthcare company.

If you want a huge dividend yield, then look no further... A Big, Fat, Fully Franked Dividend

This company's dividend is almost the stuff of legends. Since it started paying dividends in 2007, it has increased its payout to shareholders every single year, a run that includes 21 consecutive dividend increases.

Based on the last 12-months of dividends, its shares are currently offering a fully-franked 4.8% yield, which grosses up to almost 7% when those franking credits are included. And in stark contrast to the likes of Commonwealth Bank and Telstra, this company just increased its dividend by over 13%, and guided for 2017 profits to grow by 20%!

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Motley Fool contributor Christopher Georges has no position in any stocks mentioned. The Motley Fool Australia owns shares of Corporate Travel Management Limited. 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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