If you're looking for blue chip ASX shares to buy, then you may want to check out the two listed below that brokers are particularly positive on.
Here's what you need to know about them:
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Coles Group Ltd (ASX: COL)
The first ASX blue chip share that could be a buy is Coles. It is of course the supermarket giant behind the eponymous Coles brand.
The team at Citi is very positive on the company. Its analysts currently have a buy rating and a $20.20 price target on its shares. This compares favourably to the current Coles share price of $18.06.
Citi recently visited one of Coles' new Automated Distribution Centre (ADC). It feels the ADC demonstrates how the company could have a cost advantage over competitors. The broker explains:
Coles hosted a site tour of its new Automated Distribution Centre (ADC) located in Redbank, Queensland. […] There should be a positive net EBIT impact in FY25, but the first full year of benefits is not expected to be achieved until FY26. Overall, the site tour reinforces our view that Coles is moving in the right direction and the ADCs have the potential to provide a cost advantage over competitors.
Telstra Corporation Ltd (ASX: TLS)
Another ASX blue chip share that could be a buy is Telstra. It is Australia's largest telco with 18.8 million retail mobile services, 3.8 million retail fixed bundles and standalone data services, and 960,000 retail fixed standalone voice services.
Morgans is a fan of the company and has an add rating and $4.70 price target on its shares. This suggests a double-digit upside for the Telstra share price, which is currently fetching $4.21.
The broker likes Telstra due to favourable industry conditions and the potential for value to be unlocked from asset divestments. Its analysts said:
Telco has the strongest tailwinds in a decade with an increasingly rational market, price rises across the majors and the criticality of telco increasingly recognised. The last major mobile operator Vodafone/TPG increased mobile prices by ~$5 per month in January 2023 and all key players are behaving economically rational. This combines with catalysts including the potential for InfraCo value release following the legal restructure.
