In 2018 the S&P/ASX 100 (Index: ^AXTO) (ASX: XTO) has fallen a sizeable 9% due to the recent market selloff and heavy declines from the big four banks.
Has this selloff left these popular ASX 100 shares in the buy zone?
A2 Milk Company Ltd (ASX: A2M)
I think this New Zealand-based infant formula and dairy company is one of the best growth shares on the ASX 100. Although its shares trade at a premium of 30x estimated forward earnings, I think the company's current growth profile justifies this. Especially given its impressive start to FY 2019 which has seen it deliver a 64.5% jump in net profit to NZ$86 million during the first four months of the financial year. This impressive growth was driven by the growing demand for its infant formula products in the China market and market share gains in the ANZ region for its dairy products.
Cochlear Limited (ASX: COH)
Cochlear is a hearing solutions company which has a long track record of providing above-average returns for its shareholders. Over the last decade the Cochlear share price has provided an average annual total return of 15%. I believe it is well positioned to continue providing market-beating returns over the next decade thanks to its industry-leading products, growing global distribution network, and the expected increase in demand for hearing assistance products due to ageing populations.
Woolworths Group Ltd (ASX: WOW)
The Woolworths share price has defied the odds this year and pushed over 5% higher. This gain means that the retail conglomerate's shares are now changing hands at 22x estimated forward earnings. which I think is about fair value for Woolworths. One potential positive in 2019 that could add value is the prospect of a sizeable capital return in the form of a share buyback and special dividend. I'd suggest investors keep an eye out for this next year.
