Beat low interest rates with these juicy dividend payers

Blackmores Limited (ASX:BKL) is one of five shares which provide growing and fully franked dividends. Are they in your portfolio?

| More on:
a woman

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

With interest rates at historic lows and potentially going lower, it is becoming increasingly difficult for some investors to find a sufficient source of income.

Luckily though the Australian stock exchange has a number of great dividend shares that I feel are far better options than term deposits or savings accounts.

Five fast-growing dividend shares, which I think income investors should take a close look at today are as follows:

Cover-More Group Ltd (ASX: CVO)

Although the shares of this leading travel insurance company currently only provide a fully franked trailing 3.3% dividend, this is expected to grow by a solid 17% per annum through to FY 2018. I think Cover-More could be a big winner from the travel boom, which makes it a great long-term investment option.

GUD Holdings Limited (ASX: GUD)

It may have posted a reasonably disappointing FY 2016, but management is expecting the solid performance of its automotive business to help it bounce back strongly this year. As a result it is expected to grow its dividend by over 15% per annum for the next couple of years. This means investors can expect a fully franked 4.9% dividend in the year ahead.

IVE Group Ltd (ASX: IGL)

The shares of this leading printing and marketing company are expected to provide an incredible fully franked 8% dividend in FY 2017. Although the industry is highly competitive, IVE Group's long-standing relationships with its clients puts it in a strong position for growth in my opinion. On average its top 20 customers have each been with the company for nine years.

Monash IVF Group Ltd (ASX: MVF)

Monash IVF is expected to continue its exceptional earnings growth again in FY 2017 thanks to the growing demand for IVF treatments. Last year the company's treatments grew by 12.4%, well ahead of the industry average. Its shares are expected to provide a fully franked 4.1% dividend this year, before growing to an estimated 4.5% in FY 2018.

Blackmores Limited (ASX: BKL)

This health supplements company is expected to pay an estimated fully franked 4.3% dividend in FY 2017 according to CommSec. Pleasingly Blackmores is forecast to grow its dividend in FY 2018 as well. The company has fallen in price recently and is expected to provide a trading update at next week's AGM.

Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

A white and black robot in the form of a human being stands in front of a green graphic holding a laptop and discussing robotics and automation ASX shares
Technology Shares

Joining the revolution: How I'd invest in ASX AI shares right now

Advances in artificial intelligence (AI) could usher in a new industrial revolution. Here’s how you can invest in it.

Read more »

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »