If you're looking to boost your income by adding a few dividend shares to your portfolio, then the ones listed below could be great options.
Both ASX dividend shares listed below have strong businesses and offer generous yields at current prices. Here's why I think they are in the buy zone right now:
BHP Group Ltd (ASX: BHP)
I think this mining giant is a top ASX dividend share to buy right now. This is because I believe BHP is well-positioned to pay generous dividends over the next couple of years at least. This is thanks to its world class and low cost operations, its growth opportunities, and its strong balance sheet.
I feel the latter should allow the company to return the majority of its free cash flow to shareholders in the form of dividends. And thanks to the sky high prices that iron ore is currently commanding, this looks likely to be billions of dollars. Based on the current BHP share price, I estimate that the mining giant provides investors with a forward fully franked ~5% dividend yield.
Sydney Airport Holdings Pty Ltd (ASX: SYD)
Another ASX dividend share for investors to consider buying is Sydney Airport. Although its terminals have been a ghost town because of the pandemic, I'm optimistic that this will change in the coming months. And if the current situation in Melbourne doesn't get out of control, I'm confident the domestic travel market will recover enough in 2021 for it to pay a decent dividend.
At this point, I estimate that the airport operator will pay a dividend in the region of 29 cents per unit next year. Based on the latest Sydney Airport share price, this represents a 5.35% FY 2021 dividend yield.
