Are you wanting to buy some blue chip ASX 200 shares for your portfolio? Then you might want to check out the ones listed below.
These quality companies could have the potential to grow at a solid over the next decade. As a result of this, they have been tipped as blue chips to buy. Here’s what you need to know:
Coles Group Ltd (ASX: COL)
The first blue chip ASX 200 share to look at is Coles. It is of course one of Australia’s big two supermarket chains with over 800 locations across the country. It also has over 900 liquor retail stores, over 700 Coles express stores, and the flybuys loyalty program.
From its store network, the company processes more than 21 million customer transactions each week, providing consumers with products from thousands of farmers and suppliers.
Due to this strong market position and its defensive qualities, a number of brokers have tipped Coles as a blue chip to buy. One of those is Goldman Sachs, which currently has a buy rating and $19.40 price target on its shares.
Goldman believes the supermarket giant is well-positioned for growth in the coming years and is forecasting solid increases in earnings and dividends. In respect to the latter, the broker has pencilled in fully franked dividends per share of 62 cents, 67 cents, and then 73 cents over the next three financial years. Based on the latest Coles share price of $17.66, this will mean yields of 3.5%, 3.8%, and 4.2%, respectively.
Another blue chip ASX 200 share for investors to look at is ResMed. It is a medical device company with a focus on sleep disorders.
Its cloud-connected medical devices are transforming care for people with sleep apnea, COPD, and other chronic diseases. In addition, its comprehensive out-of-hospital software platforms support the professionals and caregivers who are helping people stay healthy in the home or care setting of their choice.
And this certainly is a lot of people. At the last count, ResMed’s rapidly growing digital health ecosystem reached over 14 million cloud connectable medical devices. This helped increase the number of lives improved through its products to 121 million in 2020.
But it isn’t stopping there. The company still sees a significant runway for growth and is aiming to improve 250 million lives in out-of-hospital healthcare in 2025.
Analysts at Credit Suisse are positive on the company. The broker currently has an outperform rating and $37.00 price target on its shares.