The Australian share market is home to a large number of quality blue chip shares for investors to choose from.
In fact, there are so many it can be hard to decide which ones to buy.
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:
Coles Group Ltd (ASX: COL)
If you're looking for a combination of value, growth, and income then I think that this supermarket giant could be a great option. At present I believe its shares are trading on a very attractive valuation in comparison to its peers, especially given its solid growth potential thanks to its focus on automation and its expansion opportunities. In respect to automation, this focus is expected to lead to material margin improvements over the long term, bolstering its profit growth. This bodes well for its dividend given that management has a target dividend payout ratio of 80% to 90% of earnings.
CSL Limited (ASX: CSL)
Arguably the best blue chip share on the market is this global biotherapeutics company. Thanks to the quality of its products and its growing plasma collection network, CSL has been a very impressive performer over the last decade. The good news is that I believe it is perfectly positioned to continue doing the same long into the future, which I expect will lead to its shares delivering outsized returns for shareholders once again over the next decade.
SEEK Limited (ASX: SEK)
I think that this job listings company would be a great option for investors. In FY 2019 SEEK is expected to deliver more strong top line growth, with management providing sales growth guidance in the range of 16% to 20%. And while its profits are likely to be flat at best, it is worth remembering that this is due to its heavy investment in future growth opportunities. I believe this short-term pain has the potential to generate significant long-term gain for shareholders, making it well worth sticking with the company right now.
