Investors who are looking for some strong companies to boost their portfolio might want to check out the world-class ASX 200 blue-chip shares listed below.
That's because analysts have named both as buys and are tipping big potential returns from their shares over the next 12 months.
Here's what brokers are saying about them:
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CSL Limited (ASX: CSL)
The first ASX 200 blue chip share to look at is CSL. It is a global biotechnology company with a dynamic portfolio of lifesaving medicines, including those that treat haemophilia and immune deficiencies, vaccines to prevent influenza, and therapies in iron deficiency and nephrology.
Morgans is a big fan of the company and sees it as a key portfolio holding. The broker explains:
A key portfolio holding and key sector pick, we believe CSL is poised to break-out this year, a COVID exit trade, offering double-digit recovery in earnings growth as plasma collections increase, new products get approved and influenza vaccine uptake increases around ongoing concerns about respiratory viruses, with shares offering good value trading around its long-term forward multiple of ~30x.
Morgans currently has an add rating and a $328.20 price target on its shares. This implies a potential upside of 22% for investors.
Woolworths Limited (ASX: WOW)
Another ASX 200 blue chip share that could be a buy is Woolworths. It is the retail giant behind the Woolworths supermarket chain and other brands such as Countdown and Big W.
Goldman Sachs is a big fan of the company. It believes Woolworths is well-placed to grow its market share thanks to its loyalty program and omnichannel advantage. It explains:
We are Buy rated (on Conviction List) on the stock as we believe the business has among the highest consumer stickiness and loyalty among peers, and hence has strong ability to drive market share gains via its omni-channel advantage, as well as pass through any cost inflation to protect its margins, beyond market expectations.
Goldman has a conviction buy rating and a $42 price target on its shares. This suggests a potential upside of 11% for investors. The broker also expects a 3% fully franked dividend yield on top of this.
