CSL Limited (ASX: CSL) shares have been a strong ASX buy for a long time. Even amidst the current bear market and coronavirus pandemic uncertainty, CSL's value has soared. Here are a few factors that could make CSL shares a foolproof buy today.
Strong historical share price growth
The CSL share price growth has been nothing short of astounding over the years. Taking into account a 3-for-1 stock split, CSL listed for $0.76 per share in 1994. Given the biotech group is currently trading at $320.20, that represents share price growth of over 40,000%. Not a bad return on investment, right?
Large market capitalisation
Another factor that could make CSL shares a foolproof buy is its sheer size. CSL currently boasts a market capitalisation of over $140 billion. That makes the biotech giant the largest ASX-listed company right now.
Particularly with the current economic uncertainty, investing in large-cap ASX shares can provide some comfort. While there will still be ups and downs, small-cap shares have historically underperformed in downturns.
CSL shares pay a handy dividend
Apart from its size and capital growth, CSL also pays a handy dividend.
Granted, the current 0.91% dividend yield is certainly not among the highest amongst ASX shares. However, with everyone from ASX banks to travel shares slashing dividends, any dividend is a good dividend right now. Bearing in mind the $320.20 share price, CSL shares should yield $2.91 per share.
The old "bird in the hand is worth two in the bush" saying is a good one here. If you can receive dividends instead of banking on companies reinvesting that cash for the future, it could provide some additional peace of mind.
