When it comes to blue chip shares there are a large number of options on the Australian share market for investors to choose from.
To narrow things down for you, I've picked out three blue chip shares which I think are in the buy zone right now. They are as follows:
BHP Group Ltd (ASX: BHP)
One blue chip share that I think is worth considering right now is this mining giant. Although last week's quarterly operational update revealed that BHP's runaway train derailment and outages would hit its first half profits by US$600 million, the company is still on course to deliver another bumper full year profit in FY 2019 after reiterating its production and unit cost guidance. Due to the strength of its balance sheet, I expect a good portion of these profits will be returned to shareholders through buybacks and dividends.
Coles Group Ltd (ASX: COL)
One of my favourite blue chip shares at present is this supermarket giant. Although weaker consumer sentiment has hit a number of retailers in recent months, one category that has flourished is the grocery category. I believe this has put the newly listed Coles business in a position to deliver a solid full year result in FY 2019. In addition to this, based on Macquarie's estimates for a 65.7 cents per share dividend this year, Coles shares currently offer a forward fully franked 5.1% yield.
REA Group Limited (ASX: REA)
REA Group is the property listings company responsible for the realestate.com.au website and a wide range of operations internationally which I expect to underpin strong earnings growth over the coming years. I've been very impressed at the way the company has continued to achieve strong earnings growth despite the falling housing market. In the first quarter REA Group posted a 17% increase in quarterly revenue to $221.9 million and a 23% lift in quarterly EBITDA to $130.9 million.