Attention dividend income seekers: Sydney Airport Holdings Ltd (ASX: SYD) shares, Macquarie Group Ltd (ASX: MQG) shares and Mantra Group Ltd (ASX: MTR) shares are forecast to pay hefty dividends.
Sydney Airport
As the owner of Australia's busiest airport, Sydney Airport Holdings pays a reliable dividend to investors. While dividends are not franked, the benefit of having a well-managed infrastructure asset has resulted in a mostly stable income stream – even in the wake of the GFC (2008/2009).
SYD Dividends
Looking ahead, there is a little uncertainty whether Sydney Airport will take part in the development of the new Western Sydney Airport, which is likely to be up and running in the next decade. Rising interest rates are another thing to consider, which could send the share price down. However, at today's prices, it is worthy of a closer look, in my opinion.
Macquarie
Macquarie is not exactly a household name but it is Australia's fifth largest bank. The difference between Macquarie and the likes of, say, Commonwealth Bank of Australia (ASX: CBA), is that Macquarie's bread and butter is investment banking.
Although it services households with loans and mortgages, Macquarie is the go-to bank for everything else finance related (think: market research, deals, asset finance and more).
The bank generates the bulk of its income in overseas markets, which is likely to add some diversification to most Australian share portfolios. Its dividends can jump around year-to-year but Macquarie shares are forecast to yield around 5% with partial franking.
Mantra Group
Mantra is Australia's second largest hotel and resorts operator, standing to benefit from the ongoing tourism boom. The company's share price has been heavily sold off over the past year despite increasing profit and a healthy dividend yield of 4.6% fully franked.
The company does not manage all of its Mantra and Peppers branded properties, so the business can generate better profit margins than if it had the expenses associated with operations.
In my opinion, the threat of Airbnb has pushed Mantra's share price lower but made the company's shares worthy of further research.
