Buy NAB and this ASX passive income share: analysts

Analysts are expecting these ASX dividend shares to offer generous yields in the coming years.

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If you're looking for dividend shares to buy this week, then the two listed below could be worth checking out.

Both have been named as buys by analysts and tipped to provide attractive yields. Here's what you need to know about them:

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HomeCo Daily Needs REIT (ASX: HDN)

The first ASX dividend share that has been named as a buy for income investors is HomeCo Daily Needs.

HomeCo Daily Needs is a property investment company with a focus on metro-located, convenience-based assets across neighbourhood retail, large format retail, and health and services.

Morgans is a fan and has an add rating and $1.50 price target on HomeCo Daily Needs' shares. Following its first-half results, the broker commented:

HDN offers investors exposure to a portfolio of daily needs assets with its large development pipeline to provide both near-term and future growth opportunities. FY23 guidance was reiterated; metrics stable across the $4.7bn portfolio; and cap rate expansion was offset by property income growth. Looking ahead, the focus also remains on recycling assets and the development pipeline which has been boosted to +$600m from +$500m.

As for dividends, the broker is forecasting dividends per share of 8.3 cents in FY 2023 and 8.4 cents in FY 2024. Based on the current HomeCo Daily Needs share price of $1.28, this will mean dividend yields of 6.5% and 6.6%, respectively.

National Australia Bank Ltd (ASX: NAB)

Goldman Sachs is a fan of this big four bank and sees it as an ASX dividend share to buy.

Its analysts currently have a buy rating and $35.42 price target on its shares. The broker was impressed with NAB's first-quarter performance and believes it is well-placed to continue this positive form. It explained:

We reiterate our Buy on NAB given: i) we see volume momentum over the next 12 months as favouring commercial volumes over housing volumes and we believe NAB provides the best exposure to this thematic, ii) NAB has delivered the highest levels of productivity over the last three years, which we think leaves it well positioned for an environment of elevated inflationary pressure, iii) NAB's 1Q23 operating trends seem consistent with management commentary at its FY22 result (here), particularly with regard to NIMs, which we view as a positive given the commentary CBA made at its 1H23 result (here), which suggested NIMs have peaked. Reiterate Buy.

In respect to dividends, Goldman Sachs is expecting NAB to pay fully franked dividends of $1.73 per share in FY 2023 and $1.76 per share in FY 2024. Based on the current NAB share price of $29.71, this means yields of 5.8% and 5.9%.

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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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