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3 quality ASX blue chip shares I would buy today

I think the Australian share market is home to a good number of high-quality blue chip shares.

However, with so many options for investors to choose from, it can be hard to decide which ones to add to your portfolio.

To narrow things down, I’ve picked out three blue chip shares which I think are top options for investors right now. They are as follows:

Coles Group Ltd (ASX: COL)

I think this supermarket giant is a blue chip to consider buying. I’m a big fan of the company due to its strong market position, defensive qualities, and positive long-term growth outlook. In respect to the latter, Coles looks well-positioned for growth thanks to the significant cost reductions program that is underway as part of its refreshed strategy. Combined with its modest sales growth, I expect this to lead to solid earnings and dividend growth over the next five years.

CSL Limited (ASX: CSL)

My favourite blue chip share on the ASX continues to be CSL. I believe the global biotherapeutics giant is one of the highest quality companies on the local market and a great buy and hold option. This is due to the quality and outstanding growth potential of its CSL Behring and Seqirus businesses. I believe CSL’s Behring business in particular is well-placed for growth thanks to increasing demand for immunoglobulins and its growing plasma collection network. 

Telstra Corporation Ltd (ASX: TLS)

One final blue chip share I would consider buying is Telstra. Although times have been hard for Telstra, I am confident that things are improving greatly. Which could mean that a return to growth is on the horizon. This is because the end of the NBN rollout is now in sight, which should mean the pressures on its earnings will ease from FY 2021. Furthermore, following a series of dividend cuts, I believe its dividend is now at a level that is sustainable based on its current cash flows. I estimate that its shares provide a 4.6% forward dividend yield.

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James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of CSL Ltd. The Motley Fool Australia owns shares of and has recommended Telstra 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 Scott Phillips.

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