Buy BHP and these ASX dividend shares now

Analysts think that income investors should be buying these shares.

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Are you looking for some ASX dividend shares to buy for your income portfolio in December?

If you are, then it could be worth looking at the three buy-rated options named below. Here's what analysts are saying about them right now:

A happy woman at her laptop punches the air, indicating a rising share price

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BHP Group Ltd (ASX: BHP)

Goldman Sachs continues to believe that BHP could be a top ASX dividend share to buy right now.

The broker likes the mining giant due to its growing exposure to copper, which it is bullish on due to ongoing supply side challenges and increasing demand. It also highlights its "attractive valuation" and belief that BHP deserves to trade at a premium "due to ongoing superior margins and operating performance (particularly in Pilbara iron ore where BHP maintains superior FCF/t vs. peers)."

Goldman expects this to support fully franked dividends per share of 99 US cents (A$1.53) n FY 2025 and then US$1.07 (A$1.65) in FY 2026. Based on its current share price of $39.86, this equates to dividend yields of 3.8% and 4.1%, respectively.

The broker has a buy rating and $47.30 price target on its shares.

Inghams Group Ltd (ASX: ING)

A second ASX dividend share that analysts are positive on is Inghams. It is Australia's leading poultry producer and supplier.

The team at Macquarie thinks that the market is undervaluing its shares at present. Especially given its strong market position, the prospect of big dividend yields, and the recent reiteration of its guidance at its AGM.

In respect to dividends, the broker is forecasting fully franked dividends of 19.6 cents per share in FY 2025 and 20.3 cents in FY 2026. Based on the current Inghams share price of $3.12, this equates to generous dividend yields of 6.3% and 6.5%, respectively.

The broker currently has an outperform rating and $3.50 price target on its shares.

Universal Store Holdings Ltd (ASX: UNI)

A final option for income investors to consider is Universal Store.

Through its 106 stores across the Universal Store, Perfect Stranger, and Thrills brands, the company is focused on delivering a carefully curated selection of on-trend premium apparel products to 16-35 year-old fashion focused customers.

Bell Potter is bullish on the company's outlook. This is due to its store roll-out and brand growth strategy and potential for margin expansion via its private label product penetration, which currently stands at ~46%.

The broker believes this will underpin fully franked dividends per share of 31.4 cents in FY 2025 and then 36.8 cents in FY 2026. Based on the current Universal Store share price of $7.66, this will mean yields of 4.1% and 4.8%, respectively.

Bell Potter has a buy rating and $8.85 price target on its shares.

Motley Fool contributor James Mickleboro has positions in Universal Store. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group and Macquarie Group. 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.

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