2 ASX 200 blue chip shares that might be the best to buy

These 2 S&P/ASX 200 Index (ASX:XJO) blue chip shares could be two of the best picks to be looking at right now.

| More on:
ASX shares upgrade buy Woman in glasses writing on buy on board

Image Source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

There are some high-quality S&P/ASX 200 Index (ASX: XJO) blue chip shares that could be best ideas to be thinking about at the moment.

A few ASX 200 shares are well-liked by several brokers which indicates that they might be interesting to look at:

Corporate Travel Management Ltd (ASX: CTD)

Corporate Travel describes itself as a global leader in business travel management services. Its aim is to find savings, efficiency and safety for businesses and their travellers all around the world.

It's currently rated as a buy by six brokers. Morgans is one of the brokers that likes Corporate Travel Management shares and it's the broker's pick of the sector.

In a recent trading update, Corporate Travel Management said that it's returning to profit. It broke-even in March and expects positive underlying earnings before interest, tax, depreciation and amortisation (EBITDA) in the fourth quarter of FY21.

The ASX 200 share is seeing strong domestic demand in the Australia and New Zealand region with total client activity climbing to 85% of FY19 booking levels as of mid-April.

New Zealand continues to be a standout and, as of mid-April, was trading at above 160% of FY19 booking levels.

The US is experiencing positive signs of activity recovery. Despite lockdowns in the UK and Europe, significant essential travel client wins in this region continue to contribute profitability to the group.

Management believe the company is best leveraged to a domestic recovery. Around 70% of pre-forma FY19 revenue is generated from the US and the UK. These regions have the most advanced vaccination rollouts. Corporate Travel Management said that the speed of the rollouts supports expectations of a rapid return to corporate domestic travel and meaningful levels of pan-European and trans-Atlantic travel after the northern hemisphere vacation period.

Idp Education Ltd (ASX: IEL)

Idp Education says that it's a global leader in international education services. It helps international students study in English speaking countries.

The company says that its success is from connecting students with the right course in the right institution and the right country.

IDP is also a co-owner of IELTS, the world's most popular high-stakes English language test. It also operates 11 English language teaching campuses across South East Asia.

It's currently rated as a buy by at least five brokers. Morgans is one of the brokers that believes the ASX 200 share is a buy, with a price target of $28.48 over the next 12 months. Whilst the broker is positive about the business, the COVID-19 surge in India is a headwind with 40% of IELTS' testing revenue being derived from there.

The ASX 200 blue chip share's management say that it has a resilient business model. Its diverse business model and strategy is holding the organisation in good stead through crisis.

The recovery is ongoing. Demand remains, with growing IELTS capacity through new computer-delivered centres. It's also increasing counsellor capacity to support students into FY22 and FY23.

IDP Education is investing in its digital technology and capabilities. It has also accelerated its innovation strategy. According to Morgans, the IDP Education share price is priced at 56x FY22's estimated earnings.

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Idp Education Pty Ltd. The Motley Fool Australia owns shares of and has recommended Corporate Travel Management Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Broker Notes

Three happy office workers cheer as they read about good financial news on a laptop.
Broker Notes

Morgans says these ASX shares can rise 20% to 45%

Let's see why the broker is bullish on these shares.

Read more »

Workers inspecting a gas pipeline.
Broker Notes

What's Macquarie's price target for Origin Energy shares?

Could Origin be primed for a turnaround?

Read more »

a man in a business suite throws his arms open wide above his head and raises his face with his mouth open in celebration in front of a background of an illuminated board tracking stock market movements.
Broker Notes

Leading brokers name 3 ASX shares to buy today

Here's why brokers believe that now could be the time to snap up these shares.

Read more »

Bank building in a financial district.
Bank Shares

Which is the only ASX 200 bank stock Macquarie expects to outperform in FY 2026?

Macquarie forecasts a tough year ahead for the ASX 200 banks, with only one expected to outperform.

Read more »

A young man punches the air in delight as he reacts to great news on his mobile phone.
Broker Notes

These ASX 200 shares could rise 30% to 50%

Brokers have good things to say about these cheap shares.

Read more »

A female ASX investor looks through a magnifying glass that enlarges her eye and holds her hand to her face with her mouth open as if looking at something of great interest or surprise.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

A happy young couple lie on a wooden deck using a skateboard for a pillow.
Broker Notes

10 Aussie stocks to buy in FY 2026

Let's see which shares analysts think could be buys in the upcoming financial year.

Read more »

watch
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »