In terms of dividends, I think the ASX is one of the more generous share markets in the world.
But with so much choice it can be hard to decide which dividend shares to buy.
Should you buy these three popular blue-chip dividend shares?
Myer Holdings Ltd (ASX: MYR)
At the current share price this embattled department store operator's shares provide investors with a trailing fully franked 6.8% dividend. While a yield as generous as this is hard to say no to, I think investors ought to. So far in FY 2018 Myer's performance has been very disappointing and if things don't improve soon I suspect another dividend cut will be forthcoming.
Telstra Corporation Ltd (ASX: TLS)
In FY 2018 the telco giant plans to pay a 22 cents per share dividend, equating to a fully franked yield of 6.3%. While there are concerns that this dividend will be unsustainable beyond FY 2020, I am optimistic that opportunities in the rapidly growing Internet of Things market will put Telstra in a position to maintain it. Furthermore, I believe its shares are reasonably cheap right now and offer decent upside potential.
Woolworths Limited (ASX: WOW)
This retail conglomerate's shares provide a trailing fully franked 3.2% dividend today. While I have been impressed with the company's turnaround and its recent sales update, I would suggest investors hold off an investment until after its AGM later this month. At that point we will know whether this sales increase has come at the expense of its margins.
