Here are 2 ASX dividend shares that brokers rate as buys

If you’re searching for ASX dividend shares to buy, then the two listed below could be worth looking at.

Both have been tipped as buys with decent upside potential and attractive yields. Here’s what you need to know about them:

Coles Group Ltd (ASX: COL)

The first ASX dividend share to consider buying is supermarket operator Coles.

It has been tipped as a buy by analysts at Morgans, which have an add rating and $19.50 price target on its shares. This compares to the latest Coles share price of $17.84.

According to the note, Morgans thinks Coles’ shares are attractively priced given the company’s defensive qualities. It believes the latter put it in “a good position to navigate through a weaker economic environment.”

The broker also highlights that “the unwinding of local shopping should also help further market share gains.”

Morgans is forecasting fully franked dividends of 66 cents per share in FY 2023 and FY 2024. Based on the current Coles share price, this will mean yields of 3.7%.

Rural Funds Group (ASX: RFF)

Another ASX dividend share that brokers have named as a buy recently is Rural Funds.

Rural Funds is a real estate property trust which owns a diversified portfolio of Australian agricultural assets. This includes almond orchards, macadamia orchards, poultry property and infrastructure, vineyards, cattle properties, cropping properties, cattle, and water rights.

Bell Potter is positive on the company and has a buy rating and $2.65 price target on its shares.

The broker believes its shares are trading at a level that could be “an attractive entry point” for investors.

As for dividends, the broker is expecting an 11.7 cents per share dividend in FY 2023 and then a 12.2 cents per share dividend in FY 2024. Based on the current Rural Funds share price of $2.03, this represents yields of 5.75% and 6%, respectively.

The post Here are 2 ASX dividend shares that brokers rate as buys appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• 8 ASX All Ords shares trading ex-dividend this week
• For $1,000 in monthly passive income, buy 18,462 shares of this ASX 200 stock
• Passive income beasts: 3 ASX dividend shares I’d buy for retirement
• Why is the Coles share price smashing the ASX 200 this year?
• Buy Pilbara Minerals and this high yield ASX dividend share: analysts

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 positions in and has recommended Coles Group and Rural Funds Group. 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/nyrWgBb