Experts name 2 ASX 200 dividend giants to buy

Here are two dividend giants experts rate as buys…

| More on:
A man smiles as he holds bank notes in front of a laptop.

Image Source: Getty Images

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

If you're looking to boost your income with some dividend shares, then the two listed below could be worth considering.

Analysts have recently named these ASX 200 dividend giants as buys. Here's what you need to know about them:

BHP Group Ltd (ASX: BHP)

BHP could be an ASX 200 dividend share to buy if you're not averse to investing in the resources sector.

It is of course one of the world's largest mining companies with a collection of world class operations across a number of commodities and geographies.

The team at Citi are very positive on BHP and have previously highlighted the significant free cash flow it is generating from its operations.

It expects this free cash to underpin fully franked dividends per share of $4.32 in FY 2022 and then $3.77 in FY 2023. Based on the current BHP share price of $38.68, this implies yields of 11.1% and 9.7%, respectively.

Citi also sees decent upside for the Big Australian's shares. It currently has a buy rating and $44.50 price target on them.

Westpac Banking Corp (ASX: WBC)

Another ASX 200 dividend share that could be a quality option for income investors is banking giant Westpac.

That's the view of the team at Morgan Stanley which retained its outperform rating and $22.30 price target on the bank's shares last week.

And while this price target means only minimal upside for the shares of Australia's oldest bank, it doesn't stop the dividends from being any less attractive.

Morgan Stanley is expecting Westpac to pay fully franked dividends per share of $1.25 in FY 2022 and $1.30 in FY 2023. Based on the current Westpac share price of $21.51, this will mean yields of 5.8% and 6%, respectively, over the next two years.

Motley Fool contributor James Mickleboro has positions in Westpac Banking Corporation. 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 recommended Westpac Banking Corporation. 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

Middle age caucasian man smiling confident drinking coffee at home.
Dividend Investing

These blue chip ASX 200 dividend stocks offer 5% yields

Brokers think these blue chips would be top options for income investors. But why?

Read more »

Two smiling work colleagues discuss an investment or business plan at their office.
Dividend Investing

2 ASX dividend shares I'd buy for high yields

These stocks offer investors the potential of a lot of passive income.

Read more »

Two smiling work colleagues discuss an investment or business plan at their office.
Dividend Investing

These 200 ASX dividend shares could be top buys for passive income

Analysts have good things to say about these income options.

Read more »

A man holding a cup of coffee puts his thumb up and smiles while at laptop.
Dividend Investing

Buy Woodside and this high-yield ASX dividend share next week

Analysts think big yields could be on the cards for owners of these stocks.

Read more »

Mini house on a laptop.
Dividend Investing

Do ASX 200 dividend shares out-earn Aussie property?

We compare the forecast FY25 dividend yields of the top 10 ASX 200 companies to rental property yields.

Read more »

Humorous child with homemade money-making machine.
How to invest

How I'd fill an empty ASX share portfolio to build a $500 monthly passive income machine

Building an ASX passive income portfolio simpler than you may think.

Read more »

A woman presenting company news to investors looks back at the camera and smiles.
Dividend Investing

Buy these ASX dividend shares for 16% to 55% total returns

Analysts think income investors should be buying these dividend shares right now.

Read more »

Blue chip in a trolley with a man pushing it.
Dividend Investing

3 blue-chip alternatives to CBA shares for MORE passive income

These blue-chip stocks look like appealing dividend picks.

Read more »