Thankfully in this low interest rate environment, the Australian share market is home to a large number of shares offering generous dividend yields.
Three which I think would be great options for income investors right now are listed below. Here's why I would buy them:
Aventus Group (ASX: AVN)
The first dividend share to consider buying is Aventus. It is the largest fully integrated owner, manager and developer of large format retail parks in Australia. In the first half of FY 2020, it reported like-for-like net operating income growth of 3.1%. This was driven a combination of rent increases and its high occupancy rate. Management is confident that there will be more of the same in the second half, which should allow modest distribution growth. Based on this, I estimate that its shares offer a forward 5.6% distribution yield.
National Australia Bank Ltd (ASX: NAB)
If you're not averse to investing in the big four banks, then I think NAB would be a great option. Although the banking sector is facing a number of headwinds, NAB still managed to deliver a solid first quarter update this month. I believe this is a sign of how robust its business is and feel confident the trend will continue over the coming quarters. Especially with the improving housing market and its strong position in small business lending. This year I expect NAB to pay a $1.66 per share fully franked dividend, which equates to a dividend yield of 6.4%.
Super Retail Group Ltd (ASX: SUL)
A final dividend share to consider buying is Super Retail. It is the retail group behind chains such as Macpac, Rebel, and Super Cheap Auto. Earlier this month Super Retail released its half year results and revealed that it still managed to deliver modest sales growth despite the challenging environment from the bushfires and general weakness in the retail sector. First half group sales increased 2.9% to $1.44 billion, with like-for-like sales growth across its network improving by 1.7%. This allowed the company to maintain its interim dividend at 21.5 cents per share. Based on this, I estimate that its shares offer a forward fully franked 5.6% yield.
