If you're interested in adding some blue chips to your portfolio then I would suggest you consider the three listed below.
Here's why I think they are quality options for blue chip investors in 2020:
CSL Limited (ASX: CSL)
My favourite blue chip on the Australian share market is this biotherapeutics company. I continue to believe CSL would be a great buy and hold option for investors due to the quality of its operations, talented management team, and its investment in research and development. Another positive is the favourable tailwinds the company is experiencing. These include the strong demand for immunoglobulins and the increasing utilisation for secondary immunodeficiencies. Combined, I believe CSL is well-positioned for solid earnings growth over the coming years.
ResMed Inc. (ASX: RMD)
Another blue chip to consider is ResMed. As with CSL, I think the global medical device company could be a great buy and hold option. I believe ResMed has outstanding long term growth potential due to the proliferation of obstructive sleep apnoea (OSA) and its leadership position in the growing market. Interestingly, a recent presentation reveals that the company estimates only 20% of OSA sufferers have been diagnosed at this point. This should give ResMed a significant runway for growth over the next decade as more and more diagnoses are made.
SEEK Limited (ASX: SEK)
I think this job listings giant would be a good option for investors. Although trading conditions remain tough, it is still on course to deliver strong revenue and EBITDA growth in FY 2020. At its annual general meeting this week, management advised that it expects revenue growth of 15% to 18% and EBITDA growth of 8% to 11%. Beyond FY 2020, things look even more rosy. SEEK has an aspirational revenue target of $5 billion by FY 2025. This compares to revenue of $1,537.3 million in FY 2019.
