Whilst the market volatility we have experienced because of the coronavirus outbreak is disappointing, every cloud has a silver lining.
The silver lining here is that there are now a good number of high quality shares trading at very attractive levels.
Three blue chip shares which I think could storm higher when the market volatility eases are listed below. Here's why it could be worth investing in them when things return to normal:
Aristocrat Leisure Limited (ASX: ALL)
I think this gaming technology company's shares are trading at an attractive level after the recent market selloff. I believe Aristocrat Leisure could be a great long-term investment option due to the quality of its core poker machine business and the positive outlook of its digital business. The latter is generating sizeable recurring revenues in a market which is tipped to grow materially in the future thanks to the increasing popularity of mobile and social gaming.
REA Group Limited (ASX: REA)
REA Group is the property listings company behind realestate.com.au and several international equivalents. I believe the recent rebound in the housing market will lead to an acceleration in listing volumes in the second half and into FY 2021. Combined with price increases, new revenue streams, and its growing international operations, I expect this to underpin solid earnings growth from FY 2021 onwards.
SEEK Limited (ASX: SEK)
I think this job listings giant could be a great option for investors. SEEK has been investing heavily in growth opportunities in recent years. Whilst this has put pressure on its profit margins and slowed its earnings growth, I expect it to accelerate once its investment phase is over. For now, I feel this short term pain is certainly worth the potential long term gains. SEEK is aiming to grow its revenue to $5 billion by FY 2025. This will be a big lift on the revenue of $1,537.3 million it posted in FY 2019.
