The lithium industry is having another difficult day on Thursday.

In late morning trade, the majority of ASX 200 lithium stocks are dropping notably lower.

Here’s a summary of how some of the bigger names are performing:

• The Allkem Ltd (ASX: AKE) share price is down 3.5%
• The Lake Resources N.L. (ASX: LKE) share price has dropped over 5%
• The Liontown Resources Ltd (ASX: LTR) share price has fallen 3%
• The Mineral Resources Ltd (ASX: MIN) share price is down 2.5%
• The Pilbara Minerals Ltd (ASX: PLS) share price has tumbled 4%

Why are ASX 200 lithium shares dropping again?

Investors have been selling ASX 200 lithium stocks on Thursday after their US peers tumbled overnight.

The worst performer of the major lithium players was Liontown’s suitor, Albemarle Corp (NYSE: ALB), which sank over 6% on Wall Street.

This was driven by a bearish broker note out of Bank of America Securities, which appears to have spooked investors.

According to the note, Bank of America Securities’ analysts have downgraded the lithium stock to an underperform rating and slashed their price target on its shares by approximately 25% to US$195. This is largely in line with where the Albemarle share price trades now.

The broker made the move in response to falling lithium prices. Its analysts highlight that Chinese lithium carbonate prices ended last week at US$33,400 a tonne. But that’s unlikely to be where prices stop, with Bank of America noting that futures contracts are pointing to prices falling to US$23,000 a tonne by August.

In light of this, the broker believes “that negative earnings revisions are forthcoming.” And judging by the performance of ASX 200 lithium stocks today, the market appears to believe the same could apply to them.

The post ASX 200 lithium stocks sink again following Albemarle downgrade appeared first on The Motley Fool Australia.

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More reading

• Buy Pilbara Minerals and this ASX dividend share: analysts
• Which is the best ASX 200 iron ore stock now: BHP, Fortescue, or Mineral Resources?
• Here are the 3 most heavily traded ASX 200 shares on Wednesday
• Top ASX growth shares to buy in April 2023
• Why are ASX 200 lithium shares having such a miserable week?

Motley Fool contributor James Mickleboro has positions in Allkem. 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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The Elanor Investors Group (ASX: ENN) share price is charging ahead today amid a multi-billion dollar deal.

Elanor Investors shares are up 16.89% and are currently trading at $1.73 apiece. In contrast, the S&P/ASX 200 Index (ASX: XJO) is down 0.26% today.

Let’s take a look at the details of this deal.

What are the details?

Elanor is a funds management business with billions of dollars of real estate assets in Australia and New Zealand.

Today, Elanor advised it plans to acquire 100% of Challenger Ltd‘s (ASX: CGF) $3.4 billion Australian real estate funds management business for an upfront consideration of $41.8 million.

After the transaction, Challenger would become Elanor’s largest shareholder with an 18.2% stake. Elanor is planning to deliver 27.4 million shares to Challenger.

The takeover, if approved, will more than double Elanor’s assets under management from $3 billion to $6.4 billion.

The deal is expected to deliver material earnings growth for Elanor in FY24. Elanor and Challenger have also entered into a strategic partnership.

Commenting on the news, Elanor chief executive Glenn Willis said:

We are pleased to have executed on a key strategic objective of the group to grow AUM through the acquisition of a significant real estate funds management platform. This is a transformational transaction for Elanor.

Combining Elanor’s real estate funds management capability with Challenger’s market leading capital raising platform delivers significant size and scale benefits, and positions us for further strong growth.

The acquisition is due to be complete by 30 June and is subject to both shareholder and regulatory approvals.

Elanor is planning to hold a shareholder meeting in mid-June.

Share price snapshot

The Elanor Investors share price has fallen nearly 20% in the last year.

Elanor has a market capitalisation of nearly $211 million based on the current share price.

The post Elanor Investors share price surges 17% on $3.4 billion Challenger funds deal appeared first on The Motley Fool Australia.

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More reading

• Should I buy ASX 200 property shares following the RBA rate pause?
• How I’d invest $20,000 to earn reliable passive income today
• What’s going on with BHP shares and lithium?
• How I’d invest $5,000 today for long-term passive income
• Here’s why the Western Mines share price is surging another 65% on Thursday

Motley Fool contributor Monica O’Shea 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 Challenger. 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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Property stocks might be back on the table following the Reserve Bank of Australia’s (RBA’s) latest interest rate decision, with a top broker tipping three real estate S&P/ASX 200 Index (ASX: XJO) shares as buys.

Citi analyst Suraj Nebhani points to the RBA’s decision to pause rates at 3.6% in April, as well as data suggesting house prices are rising, saying courtesy of The Australian:

[It] raises questions whether we are nearing a bottom of the residential property market.

That’s surely good news for those invested in the sector. The S&P/ASX 200 Real Estate Index (ASX: XRE) plunged nearly 24% last year amid what became 10 consecutive rate hikes – an effort to tame rampant inflation.

The sector has traded relatively flat so far in 2023, posting a slight 2% uptick over the last fortnight. Is this just the start of a notable recovery? Nebhani thinks so, continuing:

The impending mortgage cliff and lower borrowing capacity create some near-term uncertainty, but rising immigration along with low supply create a positive medium-term backdrop.

Let’s take a look at the three recently-embattled ASX 200 property shares Citi rates as buys right now.

3 buy rated ASX 200 property shares

Mirvac Group (ASX: MGR)

Citi has upgraded its outlook for Mirvac shares to a buy with a $2.40 price target – a potential 11% upside.

The property group saw its statutory profit fall 62% to $215 million in the first half of financial year 2023, mainly due to lower investment property revaluations.

The company’s CEO and managing director Susan Lloyd-Hurwitz said high inflation and interest rates created uncertainty for consumers and put pressure on economic growth during the period.

Stockland Corporation Ltd (ASX: SGP)

Also now buy rated is property development giant Stockland – Citi tips its shares to rise 11.5% to trade at $4.60.

The company’s commercial property leg delivered just $30 million of revaluation gains in the first half – down from $543 million in the previous period. That saw its half-year statutory profit tumble nearly 65% to $301 million.

Ingenia Communities Group (ASX: INA)

Finally, Citi recently initiated coverage of lifestyle communities developer and operator Ingenia Communities – slapping its shares with a buy rating and a $4.40 price target. That represents a potential 12.6% upside.

The softening residential real estate market, along with construction delays, dinted the company’s earnings last half. Its statutory profit fell 16% to $33.7 million in the period.

The post Should I buy ASX 200 property shares following the RBA rate pause? appeared first on The Motley Fool Australia.

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More reading

• Here are the 3 most heavily traded ASX 200 shares on Friday
• Top brokers name 3 ASX shares to buy today
• Why now is a golden opportunity to earn passive income from Aussie real estate

Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Brooke Cooper 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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The Australian share market is a great place to generate a passive income.

Every six months (sometimes even more frequently), a large number of ASX shares will share their profits with their shareholders in the form of dividends.

In light of this, if I had $20,000 sitting in a bank account, I would consider putting it into high-quality ASX shares that offer a reliable source of passive income.

Where I would invest $20,000 in ASX shares for passive income

I’m going to split this $20,000 up into four $5,000 investments to add some level of diversity to my income portfolio.

The first ASX share I would buy for passive income is Westpac Banking Corp (ASX: WBC). The recent banking crisis has dragged bank shares notably lower, which I believe has created a compelling buying opportunity.

For example, not only does Goldman Sachs have a conviction buy rating and lofty $27.74 price target, it expects a generous fully franked 6.75% dividend yield this year and a 7.15% dividend yield in FY 2024.

What else?

Next up, I think Universal Store Holdings Ltd (ASX: UNI) would be another top option for income investors in the current environment. That’s because this youth fashion retailer’s target demographic is expected to continue spending largely as normal despite the cost of living crisis. This is underpinned by their limited exposure to rising interest rates and an increase in the minimum wage.

Morgans is a fan of Universal Store and has an add rating and a $6.85 price target on its shares. It is also forecasting fully franked dividend yields of 6% in FY 2023 and 7% in FY 2024.

Another ASX share that I would invest $5,000 into for passive income is Rio Tinto Ltd (ASX: RIO). I’m expecting some big dividends from this mining giant in the near term thanks to a combination of strong commodity prices and production growth.

Goldman Sachs also expects this to be the case. It is forecasting fully franked dividend yields of 6.7% in FY 2023 and 7.5% in FY 2024. The broker also sees plenty of upside for the miner’s shares with its buy rating and $140.40 price target.

Finally, I think the Vanguard Australian Shares High Yield ETF (ASX: VHY) would be a great way to round out your passive income portfolio. It invests in a diverse collection of ASX shares that pay larger-than-average dividends.

At present, the ETF offers an estimated forward dividend yield of 5.4% and I would expect something similar the following year.

What passive income would these shares generate?

Based on the above, the four investments would have an average dividend yield of 6.2% in FY 2023 and 6.75% in FY 2024.

This means that a $20,000 investment would yield passive income of approximately $1,250 in the first year and then $1,350 in the second year.

And, don’t forget, there’s potential for capital returns on top of these dividends!

All in all, I feel this would be a great starter portfolio for investors seeking passive income.

The post How I’d invest $20,000 to earn reliable passive income today appeared first on The Motley Fool Australia.

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More reading

• Morgans names the best ASX 200 dividend shares to buy in April
• Buy these ASX 200 dividend shares for passive income: analysts
• Why did the Rio Tinto share price lag the ASX 200 today?
• Investing $10k in Westpac shares could generate substantial passive income
• Could buying Westpac shares at under $22 make me rich?

Motley Fool contributor James Mickleboro has positions in Westpac Banking. 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 Vanguard Australian Shares High Yield ETF and Westpac Banking. 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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BHP Group Ltd (ASX: BHP) shares are up a fraction of a per cent in morning trade.

The S&P/ASX 200 Index (ASX: XJO) mining giant closed yesterday trading for $45.24 per share. Those shares are currently trading for $45.28 apiece.

That’s Thursday’s rather muted early price action for you, the last day of trading before we head into the four-day Easter holiday weekend.

Now, what’s going on with BHP shares and lithium?

Is the mining giant rethinking its lithium ambitions?

If you’re investing in BHP shares, you’re likely aware that the ASX 200 miner produces uranium as a by-product at Olympic Dam in South Australia.

You’re also likely aware that the miner hasn’t been exactly keen to join the global lithium race.

Speaking at the 2022 BMO, Global Metals and Mining Conference, BHP CEO Mike Henry was clear about the company’s lithium aspirations.

It is one of these things where we always try to maintain an open mind and keep things under review. But, as we have been quite clear over a number of years now, we do not see the opportunity in lithium to create a business akin to the other businesses that we have, which are large, where we generate very significant margins.

Henry added:

No doubt lithium demand is increasing at quite a pace, but we think that the long-term cost curve for lithium is probably not aligned with the sort of shape of the cost curve and margin opportunity that we would see in things like copper, nickel, potash and even iron ore and high-quality hard coking coal.

To date, BHP shares haven’t been materially impacted by either the fast-rising or, subsequently, fast-falling price of lithium.

But that may not be the case in the future.

As Reuters reports, BHP’s nascent Xplor accelerator program is expanding its ambitions beyond prospective copper and nickel projects to also include uranium and lithium projects, commencing in September.

Addressing a commodities conference in Singapore this week, vice president of BHP Xplor Sonia Scarselli said, “We will be looking not just at copper and nickel, but at uranium and lithium and so on.”

BHP has already chosen seven companies to support for the first half of 2023, all focussed on copper or nickel. Both metals are core to the global energy transition, and BHP expects demand for both to grow strongly over the coming years.

The seven companies, including private Aussie mineral explorer Red Ox Copper and junior listed explorer Impact Minerals Ltd (ASX: IPT), receive up to half a million dollars in funding along with business and technical support.

Scarselli said the mining industry has been hamstrung by 10 years of underinvestment in exploration. BHP’s Xplor accelerator program is one way the mining giant is working to counter that trend and uncover metals crucial to the global electrification push.

And now, it appears, that lithium may be back on BHP’s radar.

How have BHP shares been tracking?

As you can see in the chart below, BHP shares are trading right around where they kicked off 2023.

Longer-term, shares in the ASX 200 miner have gained 58% over five years.

The post <strong>What’s going on with BHP shares and lithium?</strong> appeared first on The Motley Fool Australia.

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More reading

• Which is the best ASX 200 iron ore stock now: BHP, Fortescue, or Mineral Resources?
• Investing in ASX 200 dividend shares? Here’s how I’d aim for $200 per month in passive income
• ASX 200 rebounds after RBA hits pause on its rate hikes
• Passive income: How much to invest to get $800 per month
• A director has been buying up BHP shares. Should you?

Motley Fool contributor Bernd Struben 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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The stock market can be a great place to find ASX dividend shares that could be excellent ideas for long-term passive income.

The ASX has plenty of blue chips that pay dividends, such as Commonwealth Bank of Australia (ASX: CBA) and BHP Group Ltd (ASX: BHP). However, I’m not sure how much growth they will be able to achieve due to their very large size.

If I were given $5,000 to invest in businesses for investment income, I know three of the ones that I’d likely choose.

Rural Funds Group (ASX: RFF)

Rural Funds is a real estate investment trust (REIT) that owns a diversified farm portfolio across almonds, macadamias, cattle, vineyards, sugar, and cotton.

The business has a goal of increasing its distribution by (at least) 4% each year for shareholders. I think that’s solid income growth for investors.

It owns a large number of water entitlements for tenants to use, which diversifies the asset base and protects tenants in drier weather.

Higher interest rates could have negative effects on the business. However, the Rural Funds share price has dropped by around 30% over the last year, which offsets the potential downsides of the much higher interest rates.

I think farmland will be an important asset for a long time to come and can help fund growing passive income. At the current Rural Funds share price, it has an FY23 distribution yield of 6%.

Wesfarmers Ltd (ASX: WES)

Wesfarmers is one of the largest retailers in the country, with a number of recognisable names in its stable of brands including Bunnings, Kmart, Target, Officeworks, Catch, and Priceline.

The business has the intention to grow its passive dividend income for shareholders over time. I think Wesfarmers can continue to grow earnings as it expands its businesses with bolt-on acquisitions. For example, it acquired Beaumont Tiles to boost its Bunnings business.

I’m particularly impressed by the growth of scale and earnings of Wesfarmers’ chemicals, energy and fertiliser business called WesCEF. This segment is currently working on the Mt Holland lithium project, which would diversify earnings further.

According to Commsec, Wesfarmers could pay a grossed-up dividend yield of 5.25% in FY23.

Washington H. Soul Pattinson and Co. Ltd (ASX: SOL)

Soul Pattinson is one of the oldest companies on the ASX, listed for around 120 years.

I think this business is one of the most effective ASX dividend shares for passive income because of its diversified investment portfolio. It’s spread across sectors including telecommunications, resources, financial services, agriculture, property, structured debt, and so on.

This business has grown its annual ordinary dividend every year since 2000 – the longest dividend growth streak on the ASX.

It pays out some of its investment cash flow each year as dividends. With the rest, it pays for its expenses and re-invests into more opportunities.

Excluding special dividends, Soul Pattinson has a trailing grossed-up dividend yield of 3.6%.

The post How I’d invest $5,000 today for long-term passive income appeared first on The Motley Fool Australia.

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• How I’m building more passive income to retire early
• Big Wednesday: 12 ASX 200 stocks cracking new 52-week highs
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• 5 steps to making $500 in monthly passive income in 2023
• Buy NAB and this excellent ASX 200 dividend share for passive income: brokers

Motley Fool contributor Tristan Harrison has positions in Rural Funds Group and Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Washington H. Soul Pattinson and Company Limited. The Motley Fool Australia has positions in and has recommended Rural Funds Group, Washington H. Soul Pattinson and Company Limited, and Wesfarmers. 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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The Western Mines Group Ltd (ASX: WMG) share price is rocketing higher again on Thursday.

In morning trade, the nickel explorer’s shares are up 65% to a record high of 52 cents.

This means the Western Mines share price is now up a whopping 320% over the last two trading sessions.

Why is the Western Mines share price rocketing higher?

Investors have been scrambling to buy the company’s shares since it announced the discovery of a significant nickel system at the Mulga Tank Ni-Cu-PGE Project on Wednesday.

As we covered here, assay results from the MTD023 deep hole revealed multiple broad intersections of nickel sulphide mineralisation. In addition, the company notes that there were elevated levels of nickel and sulphur, in combination with highly anomalous copper and platinum group elements, which is considered strong evidence for an extensive “live” magmatic sulphide mineral system.

Western Mines Group then followed this up with another promising announcement this morning.

According to the release, initial aqua regia testwork results have been positive. The company compared two different methods of testing: one that breaks down most minerals (four acid) and one that only dissolves certain minerals (aqua regia).

The results of the comparison testwork suggests a high percentage of nickel in sulphide form versus silicate nickel, with intervals from all holes showing better than 97% similarity in results.

Management believes that these results offer encouragement to conduct further metallurgical beneficiation testwork to demonstrate the recovery of nickel sulphide into a high-grade saleable concentrate.

Western Mines Group Managing Director, Dr Caedmon Marriott, said:

This basic comparison testwork attempts to further confirm the disseminated nickel mineralisation at Mulga Tank and prove that it is hosted in potentially recoverable sulphide form – these very positive results clearly demonstrate it is.

We’re conscious of exploring by economics and deliberately selected shallow intervals found in the top few hundred vertical metres that could be amenable to large scale open pit scenario. These intervals appear laterally continuous between holes MTD012, MTD022 and MTD023 over some 1.6km – though a lot of further drilling is required to confirm this. Upcoming hole MTP024 will also attempt to step out halfway between the broad intersections of mineralisation seen in holes MTD023 and MTD020 in the southeast corner of the body and hopefully really highlight the scale of the system.

The post Here’s why the Western Mines share price is surging another 65% on Thursday appeared first on The Motley Fool Australia.

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• Guess which ASX mining share is exploding 270% today on a ‘significant’ discovery

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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S&P/ASX 300 Index (ASX: XKO) battery stock Talga Group Ltd (ASX: TLG) is rocketing a whopping 18.2% this morning.

Its gains come on exciting news of the company’s Swedish graphite operations – designed to feed its planned battery anode manufacturing plant.

The Talga share price is launching higher to trade at $1.915 at the time of writing. Earlier today, it hit the $2.00 mark, a gain of 23.5%.

Let’s look a why the market is powering up the ASX 300 battery stock on Thursday.

What’s going on?

Shares in Talga are soaring today after the company revealed its Nunasvaara South natural graphite mine has received a major tick of approval.

The mine was granted an environmental permit, including a Natura 2000 permit, from the Swedish Land and Environment Court yesterday.

Talga managing director Mark Thompson commented on the “key approval”, saying:

[This is] a major step in Talga establishing its Swedish natural graphite anode production.

We look forward to continued engagement with all stakeholders as we progress towards mining this strategic resource for use in sustainable European battery production.

Yesterday’s court decision is subject to a three-week period in which appeals can be lodged. The company now expects the Swedish Mining Inspectorate to make a decision on its Nunasvaara South exploitation concession application.

Production from the Nunasvaara South graphite mine is intended to go to the ASX 300 company’s planned 19,500 tons per annum battery anode manufacturing plant.

The plant is subject to a separate permitting process. If all goes well, early works could kick off at the refinery site early in the second half of 2023.

Talga is currently in advanced negotiations for supply agreements with multiple European battery makers for its graphite anode products.

It’s also in discussions with several financial institutions for funding for the Vittangi Anode Project.

Talga share price outperforms ASX 300

The Talga share price has outperformed the ASX 300 in recent months.

Today’s gains included, the stock has gained 36% so far this year. Meanwhile, the index has risen 4%.

Looking further back, the battery stock has gained 19% over the last 12 months while the ASX 300 has dumped 4%.

The post Guess which ASX 300 battery stock is soaring 18% on a ‘key approval’ appeared first on The Motley Fool Australia.

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• Here’s why the Western Mines share price is surging another 65% on Thursday
• Why has the Arafura share price just been halted?
• Analysts name 2 high yield ASX dividend shares to buy today
• What’s the forecast for the Bank of Queensland share price?
• 24% yield! Should I buy New Hope shares before they go ex-dividend?

Motley Fool contributor Brooke Cooper 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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The Arafura Rare Earths Ltd (ASX: ARU) share price won’t be going anywhere on Thursday.

That’s because, this morning the rare earths developer requested that its shares be placed into a trading halt pending the release of an announcement.

Due to the Easter break, Arafura Rare Earths has asked for its shares to remain halted until Tuesday 11 April.

That’s unless it makes its announcement today. If that were to occur before the market close, the company’s shares would return to trade later this session.

What is the announcement?

It can be quite nerve-wracking when a company requests a trading halt. Will it be good news or will it be bad news?

Pleasingly, Arafura Rare Earths has provided just enough information for us to know that a positive announcement is coming. This may bode well for the Arafura share price when it returns to trade.

Here is what the company said in its request for a trading halt:

The Company is seeking a trading halt pending an announcement to the market regarding the execution of a binding offtake agreement.

An offtake agreement is an agreement between two parties for one of them to buy a portion of the other’s production.

Prior to today, the company had binding offtake agreements in place with Hyundai and Kia for 1,500 tonnes per annum (tpa) of NdPr Oxide from its Nolans Project.

In addition, it was in contract negotiations with end users in Japan and Europe for 2,375 tpa and advanced offtake discussions with end users in Europe and the United States for 2,600 tpa.  One of these parties is GE according to a recent presentation.

Investors will have to sit tight and wait for further information either later today or after Easter. But, whatever is announced, it looks likely to be great news for Arafura shareholders.

The post Why has the Arafura share price just been halted? appeared first on The Motley Fool Australia.

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More reading

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• Why Atlantic Lithium, Arafura, Brainchip, and Core Lithium shares are falling
• Tesla-induced sell-off of ASX rare earths shares like Lynas overblown: experts
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• Are Arafura shares still a buy if Tesla ditches rare earths?

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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If you’re looking for ASX dividend shares to buy, then you may want to check out the two listed below.

Both have recently been named as buys by analysts and tipped to offer big dividend yields. Here’s why they rate them highly this month:

Charter Hall Retail REIT (ASX: CQR)

The first ASX dividend share to look at is Charter Hall Retail. It is a supermarket anchored neighbourhood and sub-regional shopping centre markets-focused property company.

Citi is positive on the company, noting that it has “defensive net property income growth despite rising interest rate profile.” Another positive is that the broker highlights that “CQR’s convenience retail and convenience long WALE portfolio is effective at passing through higher inflation.”

The broker currently has a buy rating and $4.50 price target on its shares.

As for dividends, Citi is expecting the company to pay dividends of 26 cents per share in both FY 2023 and FY 2024. Based on the current Charter Hall Retail share price of $3.76, this will mean very generous 6.9% yields for investors.

South32 Ltd (ASX: S32)

Another ASX dividend share that has been named as a buy is South32. It is one of Australia’s largest diversified miners. It produces a range of commodities including aluminium, copper, manganese, and nickel.

Morgans is positive on South32 and has an add rating and $5.60 price target on its shares.

The broker sees “attractive long-term value potential in S32 from de-risking of its growth portfolio, the potential for further portfolio changes, and an earnings-linked dividend policy.”

Its analysts expect this to underpin fully franked dividends per share of 17 cents in FY 2023 and 22 cents in FY 2024. Based on the current South32 share price of $4.27, this will mean yields of 4% and 5.15%, respectively.

The post Analysts name 2 high yield ASX dividend shares to buy today appeared first on The Motley Fool Australia.

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More reading

• The slimmer South32 dividend is being shelled out today. Here’s the lowdown
• 5 things to watch on the ASX 200 on Thursday
• Buying South32 shares for the dividends? Read this first
• 2 ASX 200 mining shares just upgraded by Macquarie, one with 20% upside
• Buy BHP and this ASX 200 mining share now: analysts

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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