Buy these ASX 200 dividend shares with 5%+ yields: analysts

Income investors might want to check out these dividend shares right now.

| 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

If you're looking for dividend shares to add to your income portfolio, then it could be a good idea to check out the two listed below.

These ASX 200 dividend shares have been rated as buys by analysts and tipped to provide 5%+ yields. Here's what brokers are saying about them:

Aurizon Holdings Ltd (ASX: AZJ)

The first ASX 200 dividend share for income investors to consider buying is Aurizon.

Australia's largest rail freight operator connects miners, primary producers, and industry with international and domestic markets through its extensive national rail and road network.

The team at Morgans is very positive on the company and has an add rating and $3.81 price target on its shares. Its analysts revealed that they "see value in the stock at current prices, supported by the far higher quality Network and Coal haulage businesses."

As for dividends, Morgans is forecasting partially franked dividends of 17 cents per share in FY 2023 and then 19 cents per share in FY 2024. Based on the latest Aurizon share price of $3.41, this will mean yields of 5% and 5.6%, respectively.

National Australia Bank Ltd (ASX: NAB)

Another ASX 200 dividend share that has been rated as a buy is this banking giant.

Goldman Sachs is a fan and currently has a buy rating and $33.06 price target on its shares.

The broker remains positive on NAB in the current environment due to its strong capital position and exposure to commercial lending. Goldman expects the latter to perform better than home lending due to the housing market downturn.

Another positive is the work NAB has already done on productivity and cost management. It feels this "leaves it well positioned for an environment of elevated inflationary pressure."

In respect to dividends, Goldman Sachs is expecting the bank to pay fully franked dividends of $1.68 per share in FY 2023 and FY 2024. Based on the current NAB share price of $29.10, this means yields of 5.8% in both years.

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 recommended Aurizon. 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

A piggy bank is surround by hands preparing to pay coins into the slot, representing a company capital raisingh in asx share price represented by multiple hands all placing coins in a piggy bank
Dividend Investing

3 Australian dividend stocks trading at bargain prices

These ASX dividend shares look far too cheap to me.

Read more »

A couple cheers as they sit on their lounge looking at their laptop and reading about the rising Redbubble share price
Dividend Investing

Invest $5,000 into these ASX dividend stocks in August

Here's what analysts are recommending as buys right now.

Read more »

Young professional person providing advise to older couple.
Investing Strategies

Why franking credits are a powerful bonus for ASX investors

With super tax changes on the horizon, here’s why franking credits matter more than ever.

Read more »

Smiling woman with her head and arm on a desk holding $100 notes out, symbolising dividends.
Dividend Investing

Buy these ASX dividend shares for passive income

Let's see what analysts are recommending to their clients right now.

Read more »

Business meeting to discuss buy now pay later platform
Dividend Investing

Forget term deposits! I'd buy these two ASX 200 shares instead

I think term deposits have a weak outlook.

Read more »

A businesswoman weighs up the stack of cash she receives, with the pile in one hand significantly more than the other hand.
ETFs

Does the VanEck Wide Moat ETF really have a 6% dividend yield right now?

How can an American-focused ETF pay such a big yield?

Read more »

a man in a business suit sits at his laptop computer at his desk and smiles broadly in an office setting, giving an air of optimism and confidence.
Dividend Investing

Up 25% since April, are Macquarie shares still a good buy for passive income?

A leading expert gives his verdict on Macquarie shares and the passive income on offer.

Read more »

Three women hugging and smiling together.
Dividend Investing

The best passive income streams to help fund your future

There are a variety of ways to unlock passive income on the ASX.

Read more »