If you’re wanting to add some ASX dividend shares to your portfolio, then it could be worth considering the two listed below.
Here’s why analysts think they could be top options for income investors:
National Australia Bank Ltd (ASX: NAB)
The first ASX dividend share to look at is banking giant, NAB.
Analysts at Goldman Sachs are very positive on the bank and have named it their top big four pick. This is due partly to NAB’s balance sheet mix, which Goldman feels provides the best exposure to the domestic system growth. The broker also highlights that NAB’s franchise is performing strongly and growing at or above system growth in most segments.
It is expecting this to underpin attractive dividends in the coming years. Goldman is forecasting fully franked dividends of $1.50 per share in FY 2022 and $1.65 per share in FY 2023. Based on the current NAB share price of $31.68, this implies yields of 4.7% and 5.1%, respectively.
Goldman has a conviction buy rating and $34.17 price target on the bank’s shares.
Transurban Group (ASX: TCL)
Another ASX dividend share to look at is Transurban. It is a leading toll road operator with a portfolio of important roads across Australia and North America. The company also has a number of projects under development that look set to support its long term growth.
Analysts at Morgans are positive on Transurban due to its exposure to regional population and employment growth and urbanisation. The broker also believes that with traffic volumes recovering nicely from the pandemic, its dividends will make a quick recovery.
As a result, its analysts are forecasting dividends per share of 37 cents in FY 2022 and then 60 cents in FY 2023. Based on the current Transurban share price of $14.39, this implies yields of 2.6% and 4.2%, respectively.
Morgans has an add rating and $14.42 price target on its shares at present.
The post Here are 2 top ASX dividend shares to buy according to analysts appeared first on The Motley Fool Australia.
Wondering where you should invest $1,000 right now?
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.
*Returns as of January 12th 2022
More reading
- Own NAB shares? Experts reveal what makes the bank’s BNPL product ‘stand out from the pack’
- The ANZ share price is ‘trading at its largest discount to its peers in 15 years’: Is this justified?
- ‘We’re close to the bottom’: Expert flags share market sectors to buy before the rally
- Here are 2 ASX 200 dividend shares rated as buys by brokers
- NAB share price lifts amid BNPL product reveal
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
from The Motley Fool Australia https://ift.tt/TFG3Msn
Leave a Reply