A number of Australia's leading brokers have been busy running the rule over a collection of ASX dividend stocks recently.
Three that have come out with buy ratings are listed below. Here's why they could be great options for income investors:
Image source: Getty Images
Aspen Group Limited (ASX: APZ)
A recent note out of Bell Potter reveals that its analysts have put a buy rating and $2.75 price target on Aspen's shares.
It is a leading provider of quality affordable accommodation across residential, land lease, and holiday park communities.
Bell Potter likes this ASX dividend stock due to its strong track record, high insider ownership, and its high return on equity focus on sub-sectors that are non-fungible and repeatable over time.
The broker is expecting this focus to support the payment of dividends per share of 10 cents in FY 2025 and then 10.3 cents in FY 2026. Based on the current Aspen share price of $2.50, this will mean dividend yields of 4% and 4.1%, respectively.
IPH Ltd (ASX: IPH)
Goldman Sachs has put a buy rating and $7.50 price target on IPH's shares.
It notes that the global intellectual property (IP) services provider is well-positioned to deliver stable and defensive earnings with modest organic growth.
Another positive with this ASX dividend stock is that it has one of the best dividend track records on the Australian share market. IPH has increased its dividend each over the past decade, even during the COVID pandemic.
The good news is that Goldman Sachs expects this trend to continue, forecasting fully franked dividends of 36 cents per share in FY 2025 and 39 cents per share in FY 2026. At the current share price of $5.08, this implies dividend yields of 7.1% and 7.7%, respectively.
SRG Global Ltd (ASX: SRG)
Bell Potter is also bullish on SRG Global and has a buy rating and $1.55 price target on the ASX dividend stock.
SRG Global is a diversified industrial services group that provides multidisciplinary construction, maintenance, production drilling and geotechnical services.
Bell Potter is very positive on the company's outlook. It highlights that SRG Global's "short-to-medium term outlook is reinforced by Government-stimulated construction activity."
The broker believes this will underpin the payment of fully franked dividends of 5 cents in FY 2025 and then 6 cents in FY 2026. Based on its current share price of $1.28, this will mean dividend yields of 3.9% and 4.7%, respectively.
