Are you looking for dividend shares to buy in October? Then I think the two listed below could be worth considering.
Here's why I think these ASX shares would be great options for income investors:
Jumbo Interactive (ASX: JIN)
Jumbo Interactive is an online lottery ticket seller and the operator of the Oz Lotteries website. It also has a growing software as a service (SaaS) business, Powered by Jumbo. This business provides lotteries with everything they need to take their gaming online.
Earlier this year management estimated that just 7% of the US$303 billion global total addressable market was currently online. Given how much more efficient it is to sell lottery tickets online instead of in physical locations, I suspect that more and more lotteries will make the shift over the next decade. And given the quality of its Powered by Jumbo platform, I believe Jumbo is well-placed to win market share. This should support solid earnings and dividend growth over the 2020s. For now, based on the current Jumbo share price, I estimate that it offers investors a fully franked 3.3% FY 2021 dividend yield.
People Infrastructure Ltd (ASX: PPE)
I think this leading workforce management company is another ASX dividend share to buy. Demand for People Infrastructure's innovative solutions to workforce challenges has been growing strongly in recent years. This certainly was the case in FY 2020, with the company delivering an impressive 34.5% increase in revenue to $374.2 million and an even more impressive 53.3% lift in normalised net profit after tax and before amortisation (NPATA) to $18.4 million.
Although the pandemic is likely to stifle its growth in FY 2021, I believe its long term outlook is as positive as ever and expect very strong earnings and dividend growth over the 2020s. At present, I estimate that it will pay a 9.5 cents per share fully franked dividend in FY 2021. Based on the current People Infrastructure share price, this gives investors an attractive 3.1% forward dividend yield.
