I think there are some great ASX 200 (ASX: XJO) shares that I’d want to buy for my portfolio.
Businesses in the ASX 200 often have built up a strong market position and could be market leaders at what they do. Amid all of the recent volatility, there are some very good-looking businesses, in my opinion.
I think it makes sense to buy shares when they are lower priced rather than higher priced. The only way to take advantage of these lower prices is to actually buy them.
Here are two I really like the look of:
Wesfarmers Ltd (ASX: WES)
Wesfarmers is one of the best businesses in Australia in my opinion. It has a diverse array of businesses like Bunnings, Priceline, Officeworks, Kmart and a lithium play.
With the Wesfarmers share price down by 20% in the 2022 year to date, I think this could be a good time to buy shares.
I believe that Bunnings is one of the highest-quality businesses in Australia, with an excellent return on invested capital in the business and a promising growth outlook. It can provide more service to tradies and also increase its online sales.
One of the best reasons I like Wesfarmers is its ability to chop and change its portfolio over time. This allows the business to future-proof itself. For example, it has bought into the lithium and healthcare sectors.
I think that this ASX 200 share will be around for decades to come, continuing to earn good profit for shareholders and paying dividends.
Brickworks Limited (ASX: BKW)
Brickworks is a leading building products business with operations in Australia and the US. Some businesses include Austral Bricks, Bristle Roofing and Austral Masonry. It just updated the market to say it’s expecting bigger profit from both of them in FY22.
The main reason why I like this ASX 200 share so much is the high-quality exposure it gives investors to industrial property.
Not only does it have a growing asset value with its industrial property trust alongside Goodman Group (ASX: GMG), but it has also just announced that it’s selling some building product properties into an ‘operating property trust’ as well.
With industrial property remaining in high demand, it could generate useful rental growth, I think this is a very useful segment of Brickworks, particularly as it completes more properties over the coming years.
The growing dividend is also a very useful bonus in my opinion.