When it comes to dividend shares the banks are ordinarily a great place to start looking for investment options.
However, at this point I think the majority of bank shares are a touch expensive and investors would be better off considering other options that are available to them.
Three cheap dividend shares which could be in the buy zone are listed below:
Accent Group Ltd (ASX: AX1)
This footwear retailer's shares are currently changing hands at just 12x trailing earnings. I think this is cheap even if profit growth is expected to be minimal this year. In addition to looking cheap, its shares also provide investors with a generous trailing fully franked 6.5% dividend. This is better than anything on offer from the banks currently.
Super Retail Group Ltd (ASX: SUL)
The retail group behind brands such as Super Cheap Auto and Rebel Sport is also trading at an attractive price in my opinion. Its shares can be snapped up at just 11x estimated forward earnings today and provide a trailing fully franked 5.5% dividend. Although there are concerns about how Amazon's arrival will impact its business, I'm confident that management has prepared well and has positioned the company for growth.
Telstra Corporation Ltd (ASX: TLS)
The sharp sell-off of Telstra's shares last year has left them trading at a lowly 12x estimated forward earnings today. I think this is a great price to pay to own its shares, especially given the fully franked 6% dividend it plans to pay in FY 2018. Last year's dividend cut may have been a big disappointment, but I believe it was a necessary evil and has put the telco giant in a stronger position now to find new growth avenues.
