Bell Potter has been busy running the rule over a number of shares this month.
Two ASX 200 blue-chip shares that have been named as preferred buys are listed below. Here's what the broker is saying about them:
Brambles Limited (ASX: BXB)
Bell Potter is feeling very positive on Brambles this month. It is a global support services provider operating in over 60 countries. Brambles provides reusable pallets, crates, and containers for shared use by multiple participants throughout the supply chain.
Its analysts believe the ASX 200 blue-chip share is well-positioned to benefit from structural drivers. It explains:
Overall, we are optimistic about the ongoing structural improvements within the business underpinned by supply chain efficiencies, automation benefits and improved data analytics. Additionally, Bramble's scale of business allows the company to pass some of the costs associated with inflation to its customers through its own price rises and surcharges. Further expansion into emerging markets should generate additional earnings growth.
The broker has a buy rating and a $15.65 price target on Brambles shares.
Goodman Group (ASX: GMG)
Another ASX 200 blue-chip share that could be a buy is Goodman. It is an integrated industrial property company with a world-class portfolio.
Bell Potter likes the company due to its belief that it can grow strongly over the coming years thanks to strong demand for industrial property. It said:
Although, rising interest rates and higher cost of capital are starting to have impact on asset values, accelerating industrial rents– driven by record low vacancy– has meant industrial property has outperformed. We see potential for GMG's earnings to grow further as it captures the significant rental upside to market, as well as via ongoing development activity in a market where vacancy levels are low. In our view, GMG is a well-run business and the long-term outlook for industrial and logistics properties is favourable given the continuing growth in ecommerce (or online retail sales) and the growing middle class in developing countries.
Bell Potter has a buy rating and a $24.30 price target on Goodman's shares.
