There are so many ASX dividend shares to choose from on the local market, it can be hard to decide which ones to buy over others.
To narrow down things for you, let's take a look at three that analysts are tipping as buys right now. They are as follows:
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Dexus Convenience Retail REIT (ASX: DXC)
The first ASX dividend share that analysts are tipping as a buy is Dexus Convenience Retail REIT. It owns a portfolio of service station and convenience retail assets located across Australia and concentrated on the eastern seaboard.
Bell Potter is positive on the company and believes there's "plenty of fuel left in the tank."
As for dividends, the broker is forecasting dividends per share of 20.7 cents in FY 2024 and then 21.7 cents in FY 2025. Based on its current share price of $2.73, this implies dividend yields of 7.6% and 8%, respectively.
Bell Potter has a buy rating and $3.00 price target on its shares.
Rio Tinto Ltd (ASX: RIO)
If you don't mind investing in the mining sector, then another ASX dividend share that could be a buy is Rio Tinto.
It is of course one of the globe's largest mining companies and the owner a collection of world-class operations across several commodities and geographies. This includes the Gudai-Darri iron ore mine and the ISAL aluminium smelter in Iceland.
Goldman Sachs is feeling very positive about the miner due to its positive production and free cash flow outlook. It highlights that "RIO is a FCF and production growth story in our view, with forecast Cu Eq production growth of ~4-7% in 2025 & 2026 driven by the ramp-up of the Oyu Tolgoi UG copper mine."
The broker expects this to underpin fully franked dividends per share of US$4.28 (A$6.47) in FY 2024 and then US$4.40 (A$6.65) in FY 2025. Based on the latest Rio Tinto share price of $113.81, this will mean yields of approximately 5.7% and 5.85%, respectively.
Goldman has a buy rating and $136.10 price target on its shares.
Suncorp Group Ltd (ASX: SUN)
Goldman Sachs also thinks that this insurance giant could be an ASX dividend share to buy right now.
The broker likes Suncorp due to "the tailwinds that exist in the general insurance market." It highlights that this includes "very strong renewal premium rate increases and the benefit of higher investment yields."
Goldman expects this to support fully franked dividends per share of 79 cents in FY 2024 and 85 cents in FY 2025. Based on the current Suncorp share price of $16.99, this will mean yields of 4.65% and 5%, respectively.
The broker currently has a buy rating and $18.00 price target on the company's shares.
