3 ASX shares Australians can buy and hold for the next decade

Analysts think these high quality stocks could be in the buy zone right now.

| More on:
Man sits smiling at a computer showing graphs

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

One of the best ways to grow your wealth is by investing in ASX shares and taking advantage of compounding.

Compounding is what happens when you earn returns on top of returns. It supercharges your wealth creation the longer you do it.

But you can't just invest in any old ASX share for the long term. Some shares are more likely to flourish over the next decade than others, but which shares?

Let's take a look at three buy-rated ASX shares that Australians ought to consider as buy and hold investments for the next decade. They are as follows:

Goodman Group (ASX: GMG)

The first ASX share that could be a good buy and hold option is Goodman Group.

It is a global property group that owns, develops, and manages critical warehouse and data centres needed to power the digital economy.

Over the past decade, Goodman has been growing its earnings at a consistently strong rate thanks to ongoing property developments and strong demand. This has led to its shares delivering market-beating returns over the period.

The good news is that Morgan Stanley believes that this trend can continue for the foreseeable future. As a result, the broker recently put an overweight rating and $42.40 price target on the company's shares.

ResMed Inc. (ASX: RMD)

Another ASX share that could be a great long term option is ResMed. It is a sleep disorder treatment company with a huge total addressable market (TAM).

In fact, last month the company's CEO, Mick Farrell, commented on its huge opportunity. He said:

Today, more than 2.3 billion people suffer from major sleep health and breathing issues, the vast majority of which are undiagnosed. By building on our leadership in connected digital health, our 2030 Strategy will further enable us to transform sleep health, breathing health, and health tech at home through world-class products and digital solutions.

ResMed is aiming to help more than 500 million people worldwide achieve their full health potential in 2030.

This went down well with analysts at Morgans, which see the company as a top option right now. The broker has ResMed on its best ideas list with an add rating and $41.33 price target.

Woolworths Group Ltd (ASX: WOW)

Finally, Woolworths could be an ASX share to buy and hold.

The supermarket giant's shares have come under significant pressure this year and Goldman Sachs thinks it has created a compelling buying opportunity. It commented:

While WOW is facing transition challenges as its new CEO recalibrates WOW's strategy against a value consumer, we believe that WOW's structural advantages of its store network, scaled online position and leading data/analytics capabilities will enable market share wins in the medium term. WOW is FY26 P/E of ~21x vs historical avg 26x,

Goldman has a buy rating and price target of $36.20 on its shares.

Motley Fool contributor James Mickleboro has positions in ResMed. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group, Goodman Group, and ResMed. The Motley Fool Australia has positions in and has recommended ResMed. The Motley Fool Australia has recommended Goodman Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Blue Chip Shares

A fit man flexes his muscles, indicating a positive share price movement on the ASX market
Blue Chip Shares

3 strong ASX 200 blue chip stocks to buy with $2,000 in December

These blue chips have been given the thumbs up from analysts.

Read more »

A share market analyst looks at his computer screen in front of him showing ASX share price movements
Blue Chip Shares

Analysts name 3 strong blue chip ASX 200 shares to buy in December

Let's see which blue chips are bring tipped as buys by analysts right now.

Read more »

three businessmen high five each other outside an office building with graphic images of graphs and metrics superimposed on the shot.
Blue Chip Shares

Buy these 3 high-quality ASX 200 blue chip shares in December

Analysts think these high-quality shares are buys right now. Let's see what they are saying.

Read more »

Two people comparing and analysing material.
Blue Chip Shares

Are Woodside or CBA shares a better buy?

Here’s how I’d compare these two major ASX blue chips.

Read more »

A group of young people lined up on a wall are happy looking at their laptops and devices as they invest in the latest trendy stock.
Blue Chip Shares

Why these ASX 200 blue chip shares could generate big returns

Brokers think these shares are could be dirt cheap at current levels.

Read more »

2 women looking at phone
Blue Chip Shares

3 high quality blue chip ASX 200 shares to buy in November

Here are a few blue chip shares that have been rated as buys this month by analysts.

Read more »

A businessman lights up the fifth star in a lineup, indicating positive share price for a top performer
Blue Chip Shares

2 of the highest-quality blue chip ASX 200 stocks money can buy

Analysts think these blue chips are top buys for investors right now. But why?

Read more »

Three smiling corporate people examine a model of a new building complex.
Blue Chip Shares

This blue chip ASX 200 stock is 'among the highest-quality names' under coverage

Goldman Sachs thinks this blue chip is a top buy.

Read more »