2 high yield ASX dividend shares to buy according to analysts

These dividend shares could be top options for income investors…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

While rates are rising, they're still a long way from normal levels. In light of this, if you're looking to boost your income portfolio with some new dividend shares, then the two listed below could be worth considering.

Here's why analysts are positive on these dividend shares right now:

Dividend stocks represented by paper sign saying dividends next to roll of cash

Image source: Getty Images

Dexus Industria REIT (ASX: DXI)

The first ASX dividend share that could be in the buy zone is Dexus Industria, which was formerly known as APN Industria.

It is real estate investment trust (REIT) which owns interests in office and industrial properties that provide functional and affordable workspaces. The fund's portfolio is currently valued at ~$1.8 billion and is located across major Australian cities.

Management notes that it has been constructed to provide investors sustainable income and capital growth prospects for security holders over the long term.

Morgans appears confident the company will deliver on its targets and has an add rating and $3.65 price target on its shares. Its analysts are also forecasting attractive dividends per share of 17.3 cents in FY 2022 and 17.6 cents in FY 2023. Based on the current Dexus Industria share price of $2.79, this will mean yields of 6.2% and 6.3%, respectively.

HomeCo Daily Needs REIT (ASX: HDN)

Another ASX dividend share that could be a top option for income investors is the HomeCo Daily Needs REIT.

It is another REIT, but with a focus on convenience-based assets. This includes neighbourhood retail and large format retail (retail parks).

Goldman Sachs is a very big fan of the company and believes it is well placed for growth thanks to the "shift to omni channel retailing." In light of this, it feels its shares are undervalued at the current level and has put a buy rating and $1.70 price target on the company's shares.

As for dividends, Goldman is forecasting dividends per share of 8 cents in FY 2022 and then 9 cents in FY 2023. Based on the current HomeCo Daily Needs share price of $1.25, this will mean yields of 6.4% and 7.2%, respectively.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

Woman holding $50 notes with a delighted face.
Dividend Investing

Why this ASX dividend share is a retiree's dream

This stock can offer investors everything they want in retirement.

Read more »

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

Why ASX dividend investing still works for building long-term wealth

Here's a strategy that continues to deliver results for investors.

Read more »

Happy young woman saving money in a piggy bank.
Dividend Investing

How to build a $10,000 annual income with ASX shares

For me, building income is less about chasing yield and more about consistency, quality, and time.

Read more »

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

3 ASX dividend shares near 52-week lows with very tempting yields

These REITs now offer higher yields and rebound potential.

Read more »

Woman relaxing at home on a chair with hands behind back and feet in the air.
Dividend Investing

My top ASX passive income picks for April

Passive income takes time to build, but I think starting with the right mix of assets can make a big…

Read more »

Person handing out $100 notes, symbolising ex-dividend date.
Dividend Investing

Own ASX IOZ or other iShares ETFs? Here is your next dividend

BlackRock has announced the next round of distributions for a range of its ASX iShares ETFs.

Read more »

A woman looks excited as she holds Australian dollars in the air.
Dividend Investing

ASX passive income: How much do I need to invest in to earn $1,000 per week?

It's more achievable than you'd think.

Read more »

Person with a handful of Australian dollar notes, symbolising dividends.
Dividend Investing

2 ASX shares with dividend yields above 8%

These businesses offer an exceptionally high dividend yield for investors.

Read more »