Experts say investors should buy these top blue chip ASX shares

If you’re looking for blue chip shares to buy, then you may want to consider the two listed below that brokers are bullish on.

Here’s what you need to know about these blue chips:

Cochlear Limited (ASX: COH)

The first ASX blue chip share for investors to look at is Cochlear. It is one of the world’s leading hearing solutions companies.

Goldman Sachs is positive on the company, particularly given its improving outlook. In fact, the broker suspects that Cochlear could outperform its guidance in FY 2022.

Goldman commented:

We believe the steady declines in [COVID] hospitalisation rates across key markets, supportive backlog volumes and improved margin trajectory support a much improved picture from here.

As such, we believe current targets for FY22 offer the best chance in several years for COH to deliver at/above the top-end of its guided range (GSe: A$297m).

The broker currently has a buy rating and $237.00 price target on Cochlear’s shares. Based on the current Cochlear share price of $195.16, this implies potential upside of 21% for investors.

Domino’s Pizza Enterprises Ltd (ASX: DMP)

Another blue chip ASX share that brokers say investors should buy is pizza chain operator Domino’s.

Analysts at Morgans are particularly bullish on the company due to its bold store rollout plan. This sees Domino’s aiming to increase its store network to 6,650 stores by 2033, which will be more than double its current network.

Morgans also likes the company due to its defensive qualities in tough times. Though, it concedes that that the near term could be challenging. It explained:

Demand for DMP’s product is likely to remain resilient in times of inflation and slower economic growth. Takeaway food has been one of the most resilient categories of consumer spending during periods of rising inflation. The engine of DMP’s growth is the rollout of new stores.

Although near-term store rollout may be slower than DMP would like, the medium-term opportunity is absolutely undiminished, as evidenced by the reiteration of the 2033 outlook today. DMP has developed a solid platform for inorganic expansion.

The broker has an add rating and $93.00 price target on its shares. Based on the current Domino’s share price of $66.15, this suggests potential upside of 40% for investors.

The post Experts say investors should buy these top blue chip ASX shares appeared first on The Motley Fool Australia.

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More reading

• Own Domino’s shares? Here’s how the company plans to grow through tough times
• 2 beaten down ASX shares named as buys by experts
• Analysts name 2 top ASX 200 shares to buy today
• Down 20% in a year, is the Cochlear share price a bargain buy?
• Experts rate these ASX 200 blue chip shares as buys

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Cochlear Ltd. The Motley Fool Australia has recommended Cochlear Ltd. and Dominos Pizza Enterprises Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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