Insights

2 must-buy ASX 200 shares I rate highly

Here’s why I think Afterpay Ltd (ASX:APT) and this ASX 200 share are must buys right now…
The post 2 must-buy ASX 200 shares I rate highly appeared first on Motley Fool Australia. –

The benchmark S&P/ASX 200 Index (ASX: XJO) is home to a number of high quality shares for investors to choose from.

But with such a diverse range of shares available to investors, it can be difficult to decide which to invest your hard-earned money into.

Well, two ASX 200 shares which I think are must buys are listed below. Here’s why I rate them highly:

Afterpay Ltd (ASX: APT)

The first ASX 200 share I think is a must-buy is Afterpay. Although it is certainly a high risk option (and therefore not suitable for all investors), I believe the potential returns on offer over the long term make it a great buy and hold option. This is due to its international expansion and leading position in a buy now pay later industry growing rapidly thanks to the increasing popularity of the payment method with both consumers and retailers. 

In respect to its international expansion, Afterpay has recently launched in Canada and acquired its way onto mainland Europe. But it isn’t stopping there. Thanks partly to its relationship with WeChat owner, Tencent Holdings, the company has its eyes on entering the Asia market. Combined with its $5 trillion opportunity in the United States, I believe Afterpay has the potential to become a giant of the payments industry in the future.

ResMed Inc. (ASX: RMD)

Another ASX 200 share that I think is a must buy is ResMed. Thanks to the growing popularity of its masks and software solutions, it has been growing at a very strong rate over the last decade. Pleasingly, the company has started the new decade just as strongly as it finished the last. In FY 2020 it delivered a 15% constant currency increase in revenue to US$2,957 million and a 32% jump in net income to US$692.8 million.

Looking ahead, I believe it is well-placed to continue this strong form for some time to come. This is due to its world-class products and the massive number of undiagnosed sleep apnoea sufferers globally. Another big positive, which is often overlooked, is its rapidly growing digital health ecosystem. At the end of FY 2020 it had over 12 million cloud connectable medical devices. This provides ResMed with strong recurring revenues and an invaluable amount of high quality data.

Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks 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.*

In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

Find out the names of our 3 Post COVID Stocks – For FREE!

*Returns as of 6/8/2020

More reading

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended ResMed Inc. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post 2 must-buy ASX 200 shares I rate highly appeared first on Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!