Investors that are on the lookout for some big dividend yields might want to take a closer look at the ASX dividend shares in this article.
They have all been named as buys and tipped to provide investors with 5% to 8% yields. Here's what you need to know about them:
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GDI Property Group Ltd (ASX: GDI)
Analysts at Bell Potter think that GDI Property could be an ASX dividend share to buy. It is a property owner and fund manager with investments in Greater Sydney, Brisbane, Perth, South East Queensland, and North Queensland.
Bell Potter believes that GDI Property is well-positioned to pay some big dividends in the coming years. It is forecasting dividends per share of 5 cents across FY 2024, FY 2025, and FY 2026. Based on the current GDI Property share price of 60.5 cents, this equates to dividend yields of 8.2% for the next three years.
The broker has a buy rating and 75 cents price target on its shares.
IPH Ltd (ASX: IPH)
Over at Goldman Sachs, its analysts think that IPH could be an ASX dividend share to buy. It is a leading intellectual property solutions company with operations across the world.
The broker likes IPH due to its defensive earnings and organic growth potential. It is expecting this to underpin the payment of fully franked dividends per share of 34 cents in FY 2024 and then 37 cents in FY 2025. Based on the current IPH share price of $5.87, this represents yields of 5.8% and 6.3%, respectively.
Goldman currently has a buy rating and $8.70 price target on IPH's shares.
Rio Tinto Ltd (ASX: RIO)
A third ASX dividend share that has been given the thumbs up by analysts is Rio Tinto. It is of course one of the world's largest miners with operations across a number of commodities.
Goldman Sachs is tipping Rio Tinto as a buy. It believes the company's shares have a "compelling relative valuation: trading at c. ~0.8x NAV (A$147/sh) vs. peers (BHP ~0.9x NAV and FMG ~1.2x NAV) and c. ~5x NTM EBITDA at GSe base case, below the historical average of ~6-7x."
As for income, the broker is forecasting fully franked dividends of US$4.24 (A$6.56) per share in FY 2024 and then US$4.45 (A$6.86) per share in FY 2025. Based on its current share price of $118.68, this equates to dividend yields of 5.5% and 5.8%, respectively.
Goldman has a buy rating and $136.60 price target on its shares.
