3 no-brainer ASX dividend stocks to buy for market-beating returns in 2024

It’s hard to beat owning some ASX dividend stocks that pay you a great yield and offer major capital gain potential.

But which ASX dividend stocks could offer this winning combination today?

Three shares that analysts are tipping as buys with market-beating total returns are listed below.

Here’s what they are expecting from them:

Coles Group Ltd (ASX: COL)

The first ASX dividend stock that could be a top buy is supermarket giant Coles.

That’s the view of analysts at Citi, which have a buy rating and $17.50 price target on its shares. This suggests 10% upside for investors.

While Citi expects a reasonably subdued performance in FY 2024, it is predicting strong earnings growth in FY 2025 and FY 2026.

The broker believes this will underpin fully franked dividends per share of 64 cents in FY 2024, 70 cents in FY 2025, and then 79 cents in FY 2026. Based on the current Coles share price of $15.97, this will mean yields of 4%, 4.4%, and 4.95%, respectively.

Endeavour Group Ltd (ASX: EDV)

Another ASX dividend stock that brokers rate as a buy is BWS and Dan Murphy’s owner Endeavour.

Goldman Sachs is fan of the company due to its “clear market leading position.” It has a buy rating and $6.40 price target on the company’s shares, which suggests upside of almost 19%.

In respect to dividends, Goldman is forecasting fully franked dividends of approximately 21 cents per share in FY 2024 and 23 cents per share in FY 2025. Based on the current Endeavour share price of $5.41, this will mean yields of 3.9% and 4.25%, respectively.

Stockland Corporation Ltd (ASX: SGP)

Finally, Citi is tipping big returns from the shares of this residential and land lease developer and retail, logistics and office real estate property manager.

The broker has a buy rating and $5.00 price target on Stockland’s shares, which implies approximately 9% upside from current levels.

As for income, the broker expects a 27 cents per share dividend in both FY 2024 and FY 2025. This represents 5.9% dividend yields.

The post 3 no-brainer ASX dividend stocks to buy for market-beating returns in 2024 appeared first on The Motley Fool Australia.

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More reading

• Big news: 15 ASX 200 shares smashing 52-week highs this Tuesday
• Why Goldman Sachs rates these ASX 200 shares as buys
• 7 must-see results this ASX reporting season before buying or selling
• Citi says Coles and these ASX dividend stocks are buys
• Falling yields? I’d buy these ASX dividend beasts for a beefed-up income in 2024

Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor James Mickleboro has positions in Endeavour Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. 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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