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The blue chip ASX shares to buy in August

Blue chip shares are among the most popular type of shares for Australian investors to buy. But with so many to choose from, it can be hard to decide which ones to buy ahead of others.

Three top blue chip ASX shares that I think would be good options in August are listed below:

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Domino’s Pizza is a blue chip which I think could be a great long term option. Over the last decade Domino’s has grown its earnings at an above-average rate, leading to strong returns for its shareholders. The good news is that I believe it could do the same over the next ten years. This is thanks to its strong brand and management’s bold sales and expansion targets. In respect to the latter, Domino’s is aiming to increase its store network by upwards of 9% per annum over the next five years.

ResMed Inc. (ASX: RMD)

Another blue chip to buy is ResMed. I think the sleep treatment-focused medical device company is a great option thanks to its positive outlook due to the proliferation of obstructive sleep apnoea (OSA). Management estimates that just 20% of OSA sufferers have been diagnosed with the condition at this point. But given the growing education of the sleep disorder, I expect more and more sufferers to be diagnosed in the coming years. And given the quality of its masks and software, I believe ResMed is well-placed to benefit from this.

SEEK Limited (ASX: SEK)

A final blue chip share to consider buying is SEEK. I think the job listings company has a very positive long term outlook and could be a market beater over the 2020s. This is due to its domination of the ANZ market and the growth potential of its China-based Zhaopin business. Given Zhaopin’s strong position in a very lucrative market, I believe it has the potential to support strong overall earnings growth over the next decade.

These 3 stocks could be the next big movers in 2020

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In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

*Returns as of 6/8/2020

Motley Fool contributor James Mickleboro owns shares of SEEK Limited. The Motley Fool Australia has recommended Domino's Pizza Enterprises Limited, ResMed Inc., and SEEK 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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