Analysts say these top ASX dividend shares are buys right now

Analysts have named these top dividend shares as buys…

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Looking for some dividend shares to add to your income portfolio? If you are, you may want to look at the two listed below.

Both have been rated as buys by analysts and tipped to provide investors with big dividends. Here's what you need to know about these ASX dividend shares:

Woman holding $100 Australian notes representing dividends.

Image source: Getty Images

HomeCo Daily Needs REIT (ASX: HDN)

The first ASX dividend share to look at is the HomeCo Daily Needs REIT.

HomeCo Daily Needs is a growing property company that invests in convenience-based assets across the neighbourhood retail, large format retail, and health and services sub-sectors.

Goldman Sachs is a fan of the company and believes its shares are "undervalued at its current valuation given its diversified tenant base." The broker also sees HomeCo Daily Needs' portfolio as "well positioned to benefit from secular trends toward last-mile fulfilment offerings."

In respect to dividends, the broker is forecasting dividends per share of 8.3 cents in FY 2023 and 8.5 cents in FY 2024. Based on the current HomeCo Daily Needs share price of $1.16, this will mean dividend yields of 7.1% and 7.3%, respectively.

Goldman has a buy rating and $1.57 price target on its shares.

Telstra Corporation Ltd (ASX: TLS)

Another ASX dividend share that has been tipped to provide income investors with a generous dividend yield is telco giant Telstra.

After battling through a difficult time over the last decade, at long last there is light at the end of the tunnel for the company and its shareholders. In fact, that light is shining very brightly after a return to growth in FY 2022.

The good news is that the company's new T25 strategy is expected to underpin further solid growth in the coming years, which could be good news for its dividend payments.

For now, though, Morgans is expecting Telstra to continue to pay fully franked 16.5 cents per share dividends in FY 2023 and FY 2024. Based on the current Telstra share price of $3.85, this equates to yields of 4.3%.

Morgans has an add rating and $4.60 price target on the company's shares.

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 positions in and has recommended Telstra Corporation Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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