If you're wanting to add a few blue chip ASX shares to your portfolio, then you're in luck.
The S&P/ASX 200 Index (ASX: XJO) is home to a good number of blue chips which I believe could generate strong returns for investors in 2020 and beyond.
Three blue chip ASX shares that I would buy are listed below. Here's why I like them:
CSL Limited (ASX: CSL)
The first blue chip I would buy is CSL. I think the global biotherapeutics company has the potential to provide investors with strong returns over the next decade. This is due to its leading therapies, growing plasma collection network, and lucrative research and development pipeline. In respect to the latter, the company has a wide range of therapies under development which have the potential to generate significant revenue and support the rest of the business in the coming years.
REA Group Limited (ASX: REA)
Another blue chip share to consider is REA Group. I think the realestate.com.au operator is one of the best long term investments on the ASX 200. This is because of its high quality and resilient business model. This resilience has been on display this year. REA Group recently released its third quarter update and revealed a 1% increase in revenue to $199.8 million and an 8% lift in EBITDA to $119.6 million. This was despite dealing with a 7% decline in listings during the quarter. And while trading conditions will remain tough in the near term, I expect its earnings growth to accelerate once the crisis passes.
Woolworths Limited (ASX: WOW)
I think this retail conglomerate could be a good option for investors. Although best known for its supermarkets, Woolworths is also behind the likes of Dan Murphy's, BWS, and BIG W. Combined, I believe the company is well-positioned to grow its earnings and dividends at a solid rate for the foreseeable future. Especially given its entrenched customer base and defensive business model.
