Analysts name 2 ASX dividend shares to buy

These dividend shares could be in the buy zone…

| More on:

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

Are you looking for income options for your portfolio? If you are, then you might want to consider the ASX shares listed below.

Here's why they could top options for income investors:

A man takes his dividend and leaps for joy.

Image source: Getty Images

Accent Group Ltd (ASX: AX1)

Accent could be a dividend share to buy. It is a retail group that owns a collection of popular footwear-focused store brands including HYPEDC, Platypus, and The Athlete's Foot.

These brands have carved out a very strong position in the leisure footwear market for Accent, which, together with its expanding store network, has underpinned strong earnings growth in recent years.

The team at Bell Potter appear confident this strong form will continue over the long term. Though, it acknowledges that lockdowns will weigh on its performance in FY 2022. Bell Potter currently has a buy rating and $2.90 price target on its shares.

It is also forecasting fully franked dividends per share of 9.3 cents in FY 2022 and 13.3 cents in FY 2023. Based on the latest Accent share price of $2.46, this represents yields of 3.8% and 5.4%, respectively.

Commonwealth Bank of Australia (ASX: CBA)

Another ASX dividend share that Bell Potter is a fan of is Australia's largest bank. Its analysts currently have a buy rating and $118.00 price target on its shares.

Bell Potter likes CBA due to its strong position as the leader in home lending and retail deposits. It also notes that it has a very strong balance sheet with significant surplus capital. In addition, the broker sees opportunities to add value via SME banking, wealth management, and selective Asian expansion.

Its team are forecasting fully franked dividends per share of $4.06 in FY 2022 and $4.27 in FY 2023. Based on the current CBA share price of $105.10, this will mean yields of 3.9% and 4.2%, respectively.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Share Market News

Testing again

Read more »

Share Market News

Aaron Test 2

Read more »

Share Market News

Aaron Test

Read more »

Share Market News

JP Test

Read more »

Share Market News

JP Test

Read more »

Portrait of Discovery Fund portfolio managers Mark Devcich and Chris Bainbridge
Share Market News

Test

Portfolio managers Mark Devcich (left) and Chris Bainbridge. Image source: Discovery Fund test test

Read more »

a man in a hoodie grins slyly as he sits with his hands poised on a keyboard. He is superimposed with a graphic image of a computer screen asking for a password, suggesting he is a hacker.
Share Market News

Another ASX 200 company has been hit with a cyber incident. Here's what we know

Hackers have breached the systems of this ASX 200 company.

Read more »

a woman
Broker Notes

5 ASX 200 shares that inflation can't touch: expert

Regardless of whether you're a bull or a bear, cost pressures are a factor when buying stocks at the moment.

Read more »