If you're interested in boosting your portfolio with some dividend shares, then the two listed below could be worth considering.
Here's what you need to know about these ASX dividend shares:
Image source: Getty Images
BHP Group Ltd (ASX: BHP)
This mining giant could be a dividend share to consider. This is because with commodity prices improving significantly over the last 12 months, particularly the iron ore price, BHP is well-positioned to deliver an exceptionally strong result in FY 2021.
And thanks to its strong balance sheet and favourable dividend policy, this is likely to lead to bumper dividends for investors in the near term.
Macquarie certainly expects this to be the case. Yesterday the broker retained its outperform rating and lifted its price target on the company's shares to $63.00. It also increased its dividend forecasts to ~$4.05 per share and ~$3.68 per share for FY 2021 and FY 2022, respectively.
Based on the current BHP share price of $45.61, this will mean fully franked yields of 8.9% and 8% over the next two years.
Wesfarmers Ltd (ASX: WES)
Another dividend share to look at is Wesfarmers. It is the conglomerate behind several popular retail brands such as Bunnings and Kmart, and the owner of diverse portfolio of industrial businesses. The latter includes chemicals companies and lithium miners.
Wesfarmers has been on form again this year and has been tipped to build on this next year, leading to increasing dividends for investors.
For example, analysts at Macquarie are forecasting fully franked dividends of $1.74 per share in FY 2021 and then $1.76 per share in FY 2022. Based on the latest Wesfarmers share price of $57.54, this represents attractive yields of 3% and 3.1%, respectively. Macquarie has an outperform rating and $58.12 price target on its shares.
