Having a few strong blue-chip ASX shares in a portfolio can provide investors with a great foundation to build from.
But which blue chip ASX shares would be good options right now? Well, two that Bell Potter has named on its favoured list this month are named below.
Here's why the broker believes they could be great long-term options for investors:
Goodman Group (ASX: GMG)
The first blue chip ASX share that could be a buy in September according to Bell Potter is Goodman.
Its analysts have a buy rating and a $24.50 price target on the shares of the vertically integrated, internally managed global industrial property group.
The broker believes Goodman is well-positioned for growth over the long term. It said:
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.
Transurban Group (ASX: TCL)
Another blue chip ASX share that has been named as a buy by analysts at Bell Potter is Transurban. It is Australia's largest builder, owner, and operator of urban toll road networks.
Bell Potter currently has a buy rating and $15.90 price target on its shares. It also expects a 4.8% dividend yield in FY 2024. The broker commented:
We believe the current inflationary environment is favourable for Transurban given its inflation-linked revenue stream with annual escalators. Moreover, TCL provides low risk cash flows over the long term, with long concession duration (30+ years), and relative traffic/income resilience. The group's current pipeline of growth projects is $3.3 billion (TCL's share of total project cost) and further huge development opportunities are expected over the next few decades, supported by population and economic growth.