Are you looking for big dividend yields? If you are, then you may want to check out the two ASX dividend shares listed below.
They have been named as buys by brokers and tipped to offer generous yields in FY 2024 and FY 2025.
Here's what brokers are saying about them:
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Suncorp Group Ltd (ASX: SUN)
Goldman Sachs thinks that Suncorp could be an ASX dividend share to buy when the market reopens.
Its analysts currently have a buy rating and a $15.25 price target on the insurance giant's shares. It commented:
We are favourably disposed to Suncorp, noting in large part the tailwinds that exist in the general insurance market – i.e., very strong renewal premium rate increases and the benefit of higher investment yields. We think the strong rate momentum that SUN is getting should likely offset volume pressures as they optimise their risk exposures in certain portfolios such as home but also likely policy lapses / buy downs.
As for dividends, the broker is forecasting fully franked dividends per share of 75 cents in FY 2024 and 80 cents in FY 2025. Based on the current Suncorp share price of $13.71, this will mean yields of 5.5% and 5.8%, respectively.
Universal Store Holdings Ltd (ASX: UNI)
Morgans thinks that this youth fashion retailer is a top ASX dividend share to buy right now.
Last week, its analysts put an add rating and $4.55 price target on its shares.
The broker continues to believe that "UNI's attractive array of medium-term growth prospects is undervalued at a single digit FY25 P/E."
As well as a decent upside, Morgans is expecting some big yields. It is forecasting fully franked dividends per share of 26 cents in FY 2024 and 29 cents in FY 2025. Based on the current Universal Store of $3.99, this will mean yields of 6.5% and 7.3%, respectively.
