If you're searching for cheap ASX dividend shares to buy, then the two listed below could be worth looking at.
Both have fallen heavily in recent months and have been tipped as buys with major upside potential and big future yields.
Here's what you need to know about them:
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Baby Bunting Group Ltd (ASX: BBN)
The first ASX dividend share that could be cheap is leading baby products retailer Baby Bunting.
While the company has been having a tough time this year and seen its margins come under pressure, the team at Morgans remains positive on the future and believes its significant share price weakness has created a buying opportunity. The broker has an add rating and $3.60 price target on its shares.
It highlights that these margin pressures are transitory and reminds investors of Baby Bunting's "compelling opportunities to grow its share of a growing market."
In respect to dividends, Morgans is forecasting fully franked dividends per share of 14 cents in FY 2023 and then 16 cents in FY 2024. Based on the current Baby Bunting share price of $2.54, this will mean yields of 5.5% and 6.3%, respectively.
Elders Ltd (ASX: ELD)
Another ASX dividend share that has been beaten down this year and could be cheap now is Elders. It is a leading agribusiness company offering a range of services to rural and regional customers across the ANZ region.
Its shares were sold off last month following the release of its FY 2022 results. Although Elders delivered strong revenue and earnings growth, this was overshadowed by its uncertain outlook for FY 2023 and news that its CEO will retire next year.
Goldman Sachs remains positive on the company and believes investors should be snapping up its shares. So much so, it has put a conviction buy rating and $18.40 price target on its shares.
Although heavy rainfall poses a short term headwind, the broker remains positive on the future and believes "ELD is very well positioned to grow through the cycle."
As for dividends, the broker is expecting fully franked dividends per share of 53 cents in FY 2023 and 57 cents in FY 2024. Based on the current Elders share price of $10.32, this will mean yields of 5.1% and 5.5%, respectively.
