Buy these ASX 200 dividend shares for passive income: analysts

Brokers are feeling positive about these dividend-paying stocks…

| 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

Are you looking for ASX 200 dividend shares to buy? If you are, then you may want to check out the two listed below that have been named as buys.

Here's why analysts rate them highly right now:

Man looking amazed holding $50 Australian notes, representing ASX dividends.

Image source: Getty Images

Macquarie Group Ltd (ASX: MQG)

The first ASX 200 dividend share to buy could be investment bank, Macquarie.

Analysts at Morgans are positive on the company and believe Macquarie is well-placed for the long term thanks partly to structural drivers.

It highlights the company's "exposure to long-term structural growth areas such as infrastructure and renewables" and its potential to "benefit from recent market volatility through its trading businesses."

Morgans has an add rating and $222.80 price target on Macquarie's shares.

In respect to dividends, the broker is expecting Macquarie to pay partially franked dividends of $8.28 per share in FY 2023 and $7.64 per share in FY 2024. Based on the current Macquarie share price of $185.47, this implies yields of 4.5% and 4.1%, respectively.

Woolworths Limited (ASX: WOW)

Another ASX 200 dividend share that has been named as a buy is Woolworths.

Goldman Sachs rates the retail giant highly thanks to its strong market position and digital leadership. The broker is expecting the latter to support further market share and margin gains in the future, which could be good news for its earnings and dividend growth.

Goldman currently has a conviction buy rating and $41.00 price target on the company's shares.

As for dividends, the broker is forecasting fully franked dividends of $1.03 per share in FY 2023 and $1.16 per share in FY 2024. Based on the current Woolworths share price of $36.48, this will mean yields of 2.8% and 3.2%, 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 positions in and has recommended Macquarie Group. 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

Small girl giving a fist bump with a piggy bank in front of her.
Dividend Investing

Own ASX IOZ or other iShares ETFs? Here are the dividends you'll get today

BlackRock will pay your dividends today.

Read more »

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

2 ASX shares with dividend yields above 8%

These stocks can provide significant levels of passive income.

Read more »

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

3 excellent ASX dividend shares with 5% to 7% yields to buy

Analysts think these dividend shares are top buys this month.

Read more »

Person holding Australian dollar notes, symbolising dividends.
Dividend Investing

Forget BHP shares! Buy these ASX dividend shares instead for passive income

BHP is solid, but it’s not one of my preferred picks today for passive income.

Read more »

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

Where I'd invest on the ASX for passive income right now

Building passive income isn’t just about yield. These ASX shares highlight what really matters over time.

Read more »

multiple road lanes with cars
Dividend Investing

Which ASX dividend share could you buy and hold forever?

To perform, this ASX stock simply needs people to keep moving.

Read more »

ETF written on wooden blocks with a magnifying glass.
Dividend Investing

Why this is the best income ASX ETF for retirees

This fund offers passive income and growth.

Read more »

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

How many Wesfarmers shares do I need to buy for $1,000 of annual passive income?

Can the Bunnings and Kmart owner deliver good passive income?

Read more »