There are plenty of options for income investors on the Australian share market. This can make it hard to decide which ASX dividend shares to buy for your portfolio.

To narrow things down, I have picked out a couple of dividend shares that analysts are very positive on. Here’s what you need to know:

ANZ Group Holdings Ltd (ASX: ANZ)

The first ASX dividend share for income investors to consider buying is banking giant ANZ.

Thanks partly to its institutional business, the team at Citi believe the bank is on course to deliver a stronger than expected result during the first half.

In light of this, the broker recently put a buy rating and $29.25 price target on its shares. It also named ANZ as its top pick in the banking sector.

Another positive is that Citi expects some big dividend yields from its shares in the near term. It is forecasting fully franked dividends of 166 cents per share in FY 2023 and then 168 cents per share in FY 2024. Based on the current ANZ share price of $24.22, this will mean yields of 6.85% and 6.9%, respectively.

Rural Funds Group (ASX: RFF)

Rural Funds could be another dividend share for income investors to consider buying. It is an agriculture-focused real estate property trust.

With Australia the food bowl of Asia, Rural Funds appears well-positioned for growth over the long-term. Especially given its long-term leases and periodic rental increases.

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

As for dividends, the broker is forecasting 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 $1.97, this represents yields of 5.9% and 6.2%, respectively.

The post Analysts say income investors should buy ANZ and these ASX dividend shares appeared first on The Motley Fool Australia.

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More reading

• Lowest ASX bank yield: Are CBA shares still worth it?
• Why ANZ shares are Citi’s ‘top pick’ in the ASX 200 banking sector
• Building wealth through dividend investing: 5 ASX shares to boost your income
• Passive income plan: I’d invest $100 a week in ASX 200 shares to earn $7,500 of annual dividends
• 5 reasons I’m still positive about this ASX 300 share despite the 40% drop

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 Rural Funds 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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