BHP Group Ltd (ASX:BHP) and this ASX 200 blue chip share could be in the buy zone right now. Here’s why…
The post 2 excellent blue chip ASX 200 shares to buy appeared first on The Motley Fool Australia. –
If you’re wanting to construct a balanced portfolio, having a few blue chip ASX shares in there could be a smart move.
The reason for this is that blue chip shares tend to be companies that are well-known, long-established, and have strong financial positions. Essentially, they aren’t going anywhere any time soon.
This should allow investors to make long term investments that benefit from compounding.
But which blue chip ASX shares should you buy? Two that are highly rated are listed below:
If you’re not averse to investing in the resources sector, then BHP could be worth considering.
The Big Australian owns a diverse portfolio of world class and low cost operations across the globe. While it has exposure to a wide range of commodities, the key one right now is iron ore.
Thanks largely to the sky high iron ore price, but also favourable prices of other commodities, BHP has been tipped to deliver a bumper profit result in FY 2021.
Analysts at Ord Minnett are very positive on the mining giant. They currently have a buy rating and $52.00 price target on its shares. Ord Minnett believes BHP is well-placed to outperform in the post-COVID environment.
Ramsay Health Care Limited (ASX: RHC)
Another ASX blue chip share to look at is Ramsay Health Care. It is a leading private healthcare company with operations across the world.
Although trading conditions were tough for Ramsay in 2020 because of the pandemic, things are starting to improve.
For example, analysts at Goldman Sachs believe Ramsay is trading largely as normal in Australia now. This is a big positive given that an estimated two-thirds of its earnings are generated in the local market.
Looking ahead, the broker feels Ramsay is well-placed to benefit from a catch up in procedures that were delayed during the pandemic.
Goldman Sachs has a conviction buy rating and $70.00 price target on its shares.
Where to invest $1,000 right now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.
*Returns as of June 30th
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Ramsay Health Care Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.