Looking for a blue chip ASX 200 share or two for your portfolio following the market selloff? Listed below are two that have been given buy ratings recently.
Here's what you need to know about them:
Goodman Group (ASX: GMG)
The first ASX 200 share to look at is Goodman Group. It is a leading integrated commercial and industrial property company with a portfolio of warehouses, large scale logistics facilities, and business and office parks.
Goodman recently released its third-quarter update and revealed that it continues to experience strong demand for its properties. This is being driven by increased intensification of use, long-term supply chain requirements, tight supply in urban infill locations and the quality of its assets.
Demand has been so strong, that last week management upgraded its earnings guidance for the second time in FY 2022. Its latest guidance reveals expectations for annual growth of at least 23%.
The good news is that its growth looks unlikely to stop here. Goodman has $13.4 billion of development work in progress, which is expected to underpin further solid growth over the coming years.
Citi is a fan of the company and sees the recent weakness in the Goodman share price as a buying opportunity. Following its third quarter update, the broker said: "We re-iterate Buy and see the -25% YTD share price decline as a good entry point."
Citi currently has a buy rating and $29.50 price target on the company's shares. This implies potential upside of 51% for investors.
Xero Limited (ASX: XRO)
Another ASX 200 share that has been sold off is Xero. The leading cloud-based business and accounting software provider's shares are down 40% since the start of the year due to weakness in the tech sector.
While this is disappointing, analysts at Goldman Sachs believe this could be a buying opportunity for long term focused investors. Particularly given its view that Xero is a "compelling global growth story" with potential for multi-decade strong growth. This is being underpinned by its global expansion and platform strategy, which Goldman highlights is "showing positive signs."
The broker recently reiterated its buy rating on the company's shares with a $118.00 price target. This suggests potential upside of 35% for investors over the next 12 months.
