2 ASX dividend stocks that are market leaders to buy now

Are you looking for some ASX dividend stocks to buy?

If you are, then it could be worth looking at the two listed below that are leaders in their fields and have recently been named as buys.

Here’s what you need to know about them:

Aurizon Holdings Ltd (ASX: AZJ)

The first ASX dividend stock that could be a buy is Aurizon. It is Australia’s largest rail freight operator, moving coal, iron ore, agricultural freight, and more across the country.

Ord Minnett is feeling very positive about the company. In response to its half-year results, the broker has put an accumulate rating and $4.70 price target on its shares.

As for dividends, the broker is forecasting partially franked dividends of 17.8 cents per share in FY 2024 and then 24.3 cents per share in FY 2025.

Based on the latest Aurizon share price of $3.95, this will mean yields of 4.5% and 6.15%, respectively.

Baby Bunting Group Ltd (ASX: BBN)

Another ASX dividend stock that could be a buy is Baby Bunting. It is Australia’s largest specialty maternity and baby goods retailer.

Its performance has been a touch underwhelming in recent times but the team at Morgans think it is worth sticking with the company. This is because its analysts “continue to believe BBN will grow earnings in FY25 as its simpler price architecture and greater focus on value start to drive the top line.”

Morgans has an add rating and $2.00 price target on its shares.

As for income, the broker is forecasting fully franked dividends per share of 6 cents in FY 2024 and then 9.8 cents in FY 2025. Based on the current Baby Bunting share price of $1.73, this will mean dividend yields of 3.5% and 5.7%, respectively.

The post 2 ASX dividend stocks that are market leaders to buy now appeared first on The Motley Fool Australia.

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More reading

• 3 ASX 200 dividend shares that analysts love
• 25 ASX 200 shares with ex-dividend dates next week
• Want big income? Buy these high-yield ASX dividend shares
• Analysts have put buy ratings on these ASX dividend stocks
• Why Baby Bunting, Humm, Liontown, and Star shares are sinking today

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 recommended Aurizon. 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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