Looking for investment ideas for after the Easter break? Listed below are two high quality ASX 200 options to consider right now.
Here's what you need to know about these ASX 200 shares:
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Goodman Group (ASX: GMG)
The first ASX 200 share to look at is Goodman Group. It is a leading integrated commercial and industrial property company with a portfolio of high quality properties.
These properties are in high demand with end users because they have exposure to key growth markets such as ecommerce and logistics and are found in key locations close to gateway cities.
Thanks to this strong demand and its material development pipeline, Goodman has been tipped to continue its solid growth in the coming years. In fact, the team at Citi believe that Goodman will outperform its upgraded guidance in FY 2022 and continue its strong growth thereafter.
It said: "We continue to see guidance as conservative, with our EPS estimates rising 5% in FY22 and c. 6% thereafter. We now forecast c. 23% EPS growth in FY22 and c. 19% EPS CAGR from FY21-FY24. Our TP increases 5% on higher asset values and higher earnings. GMG remains OUR top pick in the sector."
Citi has a buy rating and lifting its price target to $29.50 on its shares.
REA Group Limited (ASX: REA)
Another ASX 200 share to consider is property listings company REA Group. It is best-known for the realestate.com.au website, which has been dominating the ANZ market for years.
This domination has continued in FY 2022, with the company reporting 3.3 times more visits than its nearest rival. This includes a record 13.2 million people visiting its local site in October.
In light of this dominance, the robust housing market, and new acquisitions and revenue streams, REA Group has been tipped to continue its growth in the coming years by the team at Goldman Sachs.
Its analysts said: "With a strong start to 2H (i.e. listings +14% in Jan), and continued pricing/depth residential tailwinds, we expect solid 2H momentum. […] We forecast FY23 EBITDA growth of +7%, assuming (1) -5% listings headwinds (-7% adj. for non-repeat of Fed Election) offset by +6% price and +3% depth/new products (such as Audience Max/Connect)."
Goldman has a buy rating and $167.00 price target on the company's shares.
