Fortunately for income investors, the ASX 200 is not short of dividend-paying stocks. This makes the share market a great place to generate passive income.

But which ASX 200 dividend stocks would be good options right now for a passive income boost? Two that have recently been rated as buys are named below:

Centuria Industrial Reit (ASX: CIP)

The first ASX 200 dividend stock that could be a good source of passive income is Centuria Industrial.

It is Australia’s largest domestic pure play industrial REIT with a portfolio of high-quality industrial assets situated in urban infill locations throughout Australia. The company notes that this portfolio is underpinned by a quality and diverse tenant base.

UBS is positive on the company and is expecting Centuria Industrial to pay dividends per share of 16 cents in both FY 2023 and FY 2024. Based on the current Centuria Industrial share price of $3.19, this represents yields of 5% in both financial years.

The broker also sees double-digit upside for its shares with its buy rating and $3.68 price target.

Rio Tinto Ltd (ASX: RIO)

Over at Goldman Sachs, its analysts think that Rio Tinto is an ASX 200 dividend stock to buy.

It advised that this is due partly to the mining giant’s “compelling relative valuation vs. peers (0.9xNAV vs. BHP 1.05xNAV and FMG 1.5xNAV), [and] strong FCF and Div yield with our bullish view on iron ore, aluminium and copper prices.”

In respect to the latter, the broker is expecting Rio Tinto to be able to pay fully franked dividends per share of US$5.36 (A$8.10) in FY 2023 and then US$4.68 (A$7.07) in FY 2024. Based on the latest Rio Tinto share price of $109.98, this will mean yields of 7.35% and 6.4%, respectively.

Another positive is that as well as a big dividend yield, Goldman sees major upside potential for its shares. The broker currently has a conviction buy rating and $136.20 price target on them.

The post Experts say these 2 ASX 200 dividend stocks are buys for passive income appeared first on The Motley Fool Australia.

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More reading

• What’s going on with Rio Tinto shares and lithium?
• Bought $5,000 worth of Rio Tinto shares last February? Guess how much passive income you’ve already grabbed?
• How does the Fortescue dividend stack up against BHP and Rio?
• How big will the Rio Tinto dividend be next year?
• Could the iron ore price slide below $100 US dollars in 2023?

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.

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