2 blockbuster blue chip ASX shares to buy

I think CSL Limited (ASX:CSL) and this blue chip ASX share could be blockbuster buys for investors right now…

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If you’re planning to add a few blue chip ASX shares to your portfolio in the near future, then I would suggest you consider the two listed below.

I believe these are among the best on offer on the Australian share market right now. Here’s why I think they are in the buy zone:

Coles Group Ltd (ASX: COL)

I believe this supermarket giant could be a great option for investors looking at blue chips. Even those its shares have been on fire this year, I still see a lot of value in them for a long-term investment. This is due to its defensive qualities, refreshed strategy, and solid growth prospects.

In respect to the latter, I believe Coles’ focus on cost cutting through automation and efficiencies will underpin solid earnings growth over the next decade. Another positive is its favourable dividend policy. Coles intends to pay out upwards of 90% of its earnings as dividends each year. This could mean plenty of dividend growth over the 2020s, which is very welcome in this low interest rate environment.

CSL Limited (ASX: CSL)

Another quality blue chip ASX share to buy is CSL. I’m a big fan of the biotherapeutics company due to its high quality CSL Behring and Seqirus businesses. CSL Behring is the global leader in plasma therapies and Seqirus is the second biggest player in the influenza vaccines industry.

I believe both businesses can grow their sales at a strong rate over the next decade thanks to their leading therapies and vaccines, robust demand, and lucrative research and development pipelines. Each year CSL invests somewhere in the region of 10% to 11% of its sales into research and development. This investment keeps its pipeline filled with ground-breaking products that have the potential to generate billions of dollars of sales in the future. Overall, I feel this could make CSL the perfect buy and hold option for investors today.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of August 16th 2021

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of CSL Ltd. The Motley Fool Australia owns shares of COLESGROUP DEF SET. 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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