2 ASX giants to buy for decades of growth and dividends

Let's see why these shares could be the ones to hold onto for the long term.

| More on:
Man with big smile, this employee has had a good experience.

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

Key points

  • Owning high-quality ASX blue chips with strong brands and durable advantages can lead to long-term wealth through their ability to deliver consistent growth and income.
  • Macquarie Group is celebrated for its entrepreneurial culture and diversified exposure to growth sectors, with attractive dividends and notable price targets suggesting potential upside.
  • REA Group dominates the property portal market with lucrative revenue diversification, high margins, and a steadily growing dividend, offering significant long-term investment potential.

For investors looking to build real wealth over the long term, owning a few high-quality ASX blue chips can make all the difference.

The best businesses have durable advantages, strong brands, and the ability to deliver both growth and income year after year.

Two ASX giants that fit that description perfectly are named below. Both are proven performers with outstanding track records, and they could remain excellent investments for decades to come.

Macquarie Group Ltd (ASX: MQG)

Macquarie Group is widely regarded as one of the best-run financial institutions in the world. It operates across banking, asset management, and infrastructure, giving investors diversified exposure to global financial markets.

Unlike the big four banks, Macquarie has an entrepreneurial culture that allows it to move quickly into high-growth areas such as green energy, infrastructure investment, and private markets. These sectors are expected to see strong demand as the world transitions to cleaner energy and modernises key infrastructure assets.

While profits can fluctuate from year to year due to market cycles, Macquarie has demonstrated its ability to compound earnings over time. It also pays a partially franked dividend, which currently offers investors an attractive yield, and one that grow strongly alongside profits over the next decade.

Ord Minnett currently has an accumulate rating and $255.00 price target. This implies potential upside of 13% for investors from current levels.

REA Group Ltd (ASX: REA)

REA Group is another ASX giant that has delivered exceptional returns for shareholders. The company operates Australia's leading property portal, realestate.com.au, which dominates online real estate listings and advertising.

Despite challenges in the property market in the 2020s, REA has continued to grow its revenue and earnings thanks to strong pricing power and unrivalled market share. Its platform attracts millions of monthly visitors, giving it enormous leverage over advertisers and agents.

Importantly, REA has also expanded beyond traditional listings into adjacent revenue streams such as financial services, data, and property analytics. This diversification means the company can keep growing even when housing activity slows.

Over the long run, REA Group's combination of market leadership, high margins, and capital-light operations make it a textbook compounder. It also pays a dividend that's grown steadily in line with earnings.

Bell Potter is a fan of the company. Its analysts recently put a buy rating and $284.00 price target on REA Group's shares. This suggests that upside of 28% is possible between now and this time next year.

Motley Fool contributor James Mickleboro has positions in REA Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie 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

Little girl with big glasses on a laptop with a big smile on her face.
Blue Chip Shares

Top 3 ASX 200 blue-chip shares to invest in right now

Defensive earnings, scale, and long-term relevance matter more than chasing market trends.

Read more »

asx blue chip shares represented by pile of blue casino chips in front of bar graph
Blue Chip Shares

2 beaten-down ASX blue-chip tech shares I'd buy today

2 oversold ASX tech blue chips stand out as long-term opportunities after sharp sell-offs.

Read more »

A group of people in suits watch as a man puts his hand up to take the opportunity.
Blue Chip Shares

The ASX blue chip shares I'd trust with my money

Do you have money to invest? Here are three blue chips you can trust.

Read more »

Increasing stack of blue chips with a rising red arrow.
Blue Chip Shares

2 ASX blue-chip shares offering big dividend yields

I’m backing these two businesses as appealing dividend stocks.

Read more »

Green arrow going up on stock market chart, symbolising a rising share price.
Blue Chip Shares

3 ASX 200 shares this fund manager says are buys for 2026

These stocks could be the best blue-chips to own.

Read more »

Red buy button on an apple keyboard with a finger on it representing asx tech shares to buy today
Blue Chip Shares

3 ASX blue-chip shares I'd buy with $10,000 right now

These stocks are among Australia’s biggest businesses and have a good outlook.

Read more »

Happy work colleagues give each other a fist pump.
Blue Chip Shares

Where to invest $5,000 in ASX 200 shares to try and beat the market

Let's see what makes these shares potential market-beaters.

Read more »

Happy man on a supermarket trolley full of groceries with a woman standing beside him.
Blue Chip Shares

Are Woolworths shares a blue-chip buy?

Would I buy this supermarket giant's shares? Here's my verdict.

Read more »