Experts name 2 ASX dividend shares to buy next week

If you’re looking to boost your income portfolio this month, then you may want to look at the shares listed below.

Here’s why these ASX dividend shares have been tipped as buys:

Bank of Queensland Limited (ASX: BOQ)

The first ASX dividend share to consider next week is Bank of Queensland.

It is one of the largest banks outside the big four, comprising the eponymous Bank of Queensland brand and the ME Bank and Virgin Money Australia brands.

Bank of Queensland has been tipped as a buy by the team at Citi. While the broker suspects that rising rates could slow its revenue growth if lending volumes moderate, it expects cost synergies from the ME Bank acquisition to be supportive of earnings growth.

Citi has a buy rating and $8.75 price target on the bank’s shares.

In respect to dividends, the broker is forecasting fully franked dividends per share of 46 cents in FY 2022 and then 50 cents per share in FY 2023. Based on the current Bank of Queensland share price of $7.59, this will mean yields of 6.1% and 6.6%, respectively.

Dicker Data Ltd (ASX: DDR)

Another ASX dividend share to look at next week is Dicker Data. It is a leading technology hardware, software, and cloud distributor.

This exceptionally well run company has been a real star of the ASX over the last decade. During this time, its shares have generated huge returns for investors. In fact, if you had invested $10,000 into Dicker Data’s shares 10 years ago, it would be worth $300,000 today.

These strong returns have been driven by the company’s consistently solid earnings and dividend growth, which has continued in FY 2022. For example, during the first half, the company expects to report a 36% increase in revenue to $1,459 million and an 11% lift in operating profit before tax to a record of $51 million (excluding acquisition costs).

Morgan Stanley is a big fan of the company and sees meaningful upside for its shares. It currently has an overweight rating and $14.00 price target on them.

In addition, the broker is expecting the company’s dividend to continue growing. It is forecasting fully franked dividends per share of 36.2 cents in FY 2022 and 42.2 cents in FY 2023. Based on the current Dicker Data share price of $11.45, this will mean yields of 3.2% and 3.7%, respectively.

The post Experts name 2 ASX dividend shares to buy next week appeared first on The Motley Fool Australia.

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More reading

• Is the Bank of Queensland share price a smart ASX 200 bank buy?
• How to play ASX bank shares for dividends this reporting season: expert
• These ASX dividend shares have been named as buys for income investors
• Why is the Bank of Queensland share price getting a caning on Monday?
• Experts rate these high yield ASX dividend shares as buys

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 positions in and has recommended Dicker Data Limited. The Motley Fool Australia has positions in and has recommended Dicker Data Limited. 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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