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Are these the best blue chip ASX shares to buy right now?

James Mickleboro
Buy Shares

If you’re looking to add some blue chip shares to your portfolio in 2020 then I would suggest you consider the three listed below.

Here’s why I think they are amongst the best blue chip shares on the ASX right now:

Cochlear Limited (ASX: COH)

I think Cochlear is a blue chip share to consider buying due to the ageing populations tailwind. As people age, their hearing will invariably fade and require some assistance. I expect this to lead to increasing demand for hearing solutions products over the next couple of decades. And thanks to Cochlear’s high quality products, its wide distribution network, and high level of investment in R&D, I expect it to benefit greatly from the trend.

ResMed Inc. (ASX: RMD)

Another blue chip share to consider buying is ResMed. I think the global medical device company has outstanding long term growth potential due to the proliferation of obstructive sleep apnoea (OSA) and its leadership position in the market. Although the sleep treatment market is already very large, it could grow materially over the next decade. This is because the company estimates that only 20% of OSA sufferers have been diagnosed at this point. This should give ResMed a significant runway for growth in the future.

SEEK Limited (ASX: SEK)

A final blue chip share that I would buy for 2020 is SEEK. Although the job listings giant’s profit growth has been a little underwhelming of late, this has been due to its high level of investment in future growth opportunities. I believe it is worth accepting this short term pain due to the potential long term gain. After all, these investments are expected to play a key role in the company achieving its aspirational revenue target of $5 billion by FY 2025. This compares to the revenue of $1,537.3 million it posted in FY 2019.

The post Are these the best blue chip ASX shares to buy right now? appeared first on Motley Fool Australia.

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James Mickleboro owns shares of SEEK Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Cochlear Ltd. The Motley Fool Australia has recommended Cochlear Ltd., ResMed Inc., and SEEK Limited. 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 Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2019