There are a number of large ASX shares that offer investors sizeable dividend yields. In my view, Telstra Group Ltd (ASX: TLS) shares could be the best ASX blue-chip stock for dividend income if someone wanted to invest $6,000.

It may not have the biggest dividend yield, but I think it offers a pleasing mix of a growing dividend and a solid dividend yield.

In FY26, the ASX telco share grew its annual dividend income by 10.5% to 21 cents per share. It has increased its dividend five years in a row and analysts predict the dividend can continue rising at a solid rate.

Let’s take a look at what’s projected for FY27 and what that would mean for a $6,000 investment in Telstra shares.

Projected dividend income for the 2027 financial year

The business offers very defensive earnings – being connected to the internet seems important for a lot of households, businesses and so on.

As Australia’s digitalisation increases, more devices require subscriptions, helping boost Telstra’s subscriber numbers each year (including its wholesale division, which supports other smaller telcos). Therefore, it looks defensive with growth attributes, in my view.

In FY26, the company managed earnings per share (EPS) growth of 5.3%, cash EBIT growth of 8%, cash net profit growth of 11.6% and cash EPS growth of 13.8%.

Management think that cash EBIT could grow between 1.9% and 6.2% in FY27, which I believe bodes well for cash EPS (and the dividend).

Using the projection on Commsec, the business is projected to grow its annual dividend income per Telstra share by 4.75% in FY27 to 22 cents per share.

Excluding franking credits, that’s a potential dividend yield of 4.5%. Assuming the same level of franking as FY26, it’d be a grossed-up dividend yield of 6.3% including franking credits.

What would a $6,000 investment in Telstra shares create?

At the time of writing, a $6,000 purchase of Telstra stock would buy 1,234 shares.

With those shares, for FY27, the shareholder is therefore projected to receive $271.48 of dividend cash and approximately $376.19 overall dividend income, including the franking credits.

Collectively, analysts seem quite positive about the company’s valuation right now. According to Commsec, 16 analyst ratings currently cover the business: nine are buys, six are holds, and one is a sell.

While Telstra isn’t trading near 52-week lows, it looks attractive to me. Of course, there could be even better ASX share opportunities out there to buy.

The post If I buy $6,000 of Telstra shares, how much dividend income will I receive? appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison 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 Telstra Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The big four bank stocks make up a foundational piece of many investors’ portfolios. 

They also dominate the S&P/ASX 200 Index (ASX: XJO) in terms of market share. 

Combined, they make up almost a quarter of Australia’s benchmark index. 

This means when the big four bank stocks underperform, they have a huge impact on many ASX ETFs that track the domestic market. 

This is exactly what has happened so far in 2026. 

Why have bank stocks underperformed this year?

At the time of writing, in 2026: 

• Commonwealth Bank of Australia (ASX: CBA) shares are down 5% 
• National Australia Bank Ltd (ASX: NAB) shares have fallen almost 9%
• Westpac Banking Corp (ASX: WBC) is down more than 10%
• ANZ Group Holdings Ltd (ASX: ANZ) have risen 4%. 

These disappointing results have heavily contributed to the underperformance of the broader ASX 200, which is essentially flat year to date. 

Several factors have contributed to these poor returns. 

Firstly, the big four bank stocks came into 2026 with stretched valuations after strong growth in the prior year. 

Additionally, sentiment has shifted to viewing high interest rates as poor for the housing market as mortgage growth deteriorates. 

The big four control more than 70% of Australia’s mortgage market, so weaker housing activity hits the sector disproportionately. 

Home-loan applications have fallen roughly 12–20% across the majors, according to Reuters.

In short, the market is no longer paying the same premium for reliable bank earnings when it sees slower mortgage growth, intense lending competition and rising credit-risk provisions ahead.

Can they rise before 2027?

With three of the big four bank stocks losing ground in 2026, investors might be looking to buy the dip. 

The latest outlook from experts paints a mixed picture for the next 6-12 months. 

On the positive side, UBS recently reaffirmed its buy rating on Westpac shares with a 12-month target of $45.

With Westpac shares currently trading for just under $35 per share, this indicates almost 30% upside. 

It also offers a competitive yield across the big four. 

On ANZ shares, Citi has a buy rating with a $39.25 target. 

This indicates limited upside from its current price hovering around $38. 

CBA shares still appear overpriced according to Shaw and Partners’ James Bills, who recently had a sell rating on Australia’s largest bank. 

Finally, NAB is also receiving poor outlooks from brokers, with Catapult Wealth’s Dylan Evans recently issuing a sell recommendation on the big four bank stock. 

The post Which big 4 bank stock will rise the most before the end of 2026? appeared first on The Motley Fool Australia.

More reading

• If I invest $5,000 in NAB shares, what passive income will I receive in FY27?
• Macquarie Group vs Commonwealth Bank: Which ASX bank is the better buy?
• Sell alert! Why this expert is calling time on Tabcorp and NAB shares
• Could CBA shares reach $180 in 2027?
• Buy, hold, sell: Coles, NAB, CSL shares

Motley Fool contributor Aaron Bell has positions in National Australia Bank. 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.

If you are hunting for big potential returns, then it could be a good idea to check out the S&P/ASX 200 index (ASX: XJO) share in this article.

That’s because the team at Bell Potter believes that it could smash the market over the next 12 months.

Which ASX 200 share?

The share that Bell Potter is urging investors to buy is Nickel Industries Ltd (ASX: NIC).

It is an Indonesia-focused vertically integrated nickel producer with production assets across nickel ore mining, Nickel Pig Iron (NPI) production, and nickel Mixed Hydroxide Precipitate (MHP) production. 

Bell Potter notes that low rainfall is impacting its operations. It said:

NIC reported that low rainfall is impacting water supply in Central Sulawesi and interrupting the ramp-up of the 46%-owned Excelsior Nickel Cobalt (ENC) HPAL project. […] Should water supply constraints persist, ENC is expected to run at ~30% of nameplate until water availability normalises. The wet season is late and inherently hard to predict, but normalisation is anticipated by December 2026.

On a positive note, the low rainfall has supported mining and haulage productivity. The broker adds:

Conversely, the dry conditions have supported mining and haulage productivity at the Hengjaya Mine, which achieved 3.1Mwmt of nickel ore sales in July and August, including a record 1.6Mwmt in August 2026. This is tracking ahead of our prior forecast, which we incrementally increase from here, noting the current 14.3Mt RKAB sales permit cap. NIC’s RKEF operations continue unaffected by the water shortage.

Should you invest today?

According to the note, the broker has retained its buy rating and $1.45 price target on the ASX 200 share.

Based on its current share price of 80 cents, this implies potential upside of 81% for investors over the next 12 months.

In addition, a very generous 7.7% dividend yield is forecast in FY 2027, followed by a massive 15.5% dividend yield in FY 2028.

Commenting on its buy recommendation, Bell Potter said:

EPS changes in this report are: CY26: -10%; CY27: 0%; CY28: 0% as we update for a revised production outlook and higher price realisations. NIC is one of the world’s largest listed nickel producers and offers exposure across a range of nickel products and markets. It has a track record of maintaining margins through low nickel prices, benefitting from its diversified product suite and margin exposure across an integrated value chain. We retain our Buy recommendation and TP$1.45/sh.

The post Why this ASX 200 share could rise 80% appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• 5 things to watch on the ASX 200 on Monday
• This ASX nickel miner could jump 57%, Macquarie says
• 3 ASX mining shares Bell Potter rates a buy
• Strong profit growth shines in Nickel Industries half-year 2026 earnings

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.