There are some smaller ASX dividend shares that have pretty big dividend yields.

Smaller businesses are often less covered by analysts and investors which can lead to lower price/earnings ratios and higher dividend ratios.

These ASX dividend shares all have high dividend yields on offer:

Pacific Current Group Ltd (ASX: PAC)

This is a business that makes investments into global investment managers around the world. Each investment and fee structure is different, but Pacific benefits if the funds under management (FUM) grows.

Using the last 12 months of dividends, Pacific has a trailing grossed-up dividend yield of 9.1%. As the FUM grows, the underlying profitability of the Pacific business increases (particularly as it is lowering its costs after the onset of COVID-19).

Pacific continues to invest into new opportunities such as Astarte Capital Partners which may be able to become larger contributors to profit in the coming years.

It’s currently rated as a buy by Ord Minnett with a price target of $6.70. In FY22, it’s expected by the broker to pay a grossed-up dividend yield of 9.6%.

Pengana Capital Group Ltd (ASX: PCG)

Pengana is a fund management business. At the end of March 2021, it had $3.71 billion of FUM (up from $3.63 billion in February 2021).

It earns management fees and performance fees from the FUM that it manages, which turns into profit and dividends for shareholders.

Looking at the last 12 months of dividends, Pengana has a grossed-up dividend yield of 7.4%.

The ASX dividend share’s FY21 half-year FUM increased by 15% and underlying profit before tax increased by 17.1%. The board was happy enough to increase the interim dividend of 25% to 5 cents per share.

Accent Group Ltd (ASX: AX1)

Accent is a business that aims to increase its dividend consistently for investors. Indeed, its dividend has actually been consistently growing over the last few years.

The FY21 half-year result saw the board increase the dividend by 52.4% to 8 cents per share. This was funded by a 56.9% increase of the earnings per share (EPS), with earnings before interest tax (EBIT) going up 47.3% and digital sales jumping 110%.

Accent Group continues to make compelling acquisitions, such as the Glue Store which diversifies the company’s earnings and gives it more avenues to grow.

The ASX dividend share also continues to grow its store network, increase store like for like sales and improve its profit margins. The gross margin increased from 56.7% to 58.1%.

Further growth is expected into FY22. It’s expecting to open at least 90 stores in FY21 and then there should be continued strong store openings into FY22.

In the first eight weeks of the second half of FY21, like for like retail sales were up 10.7% and digital sales were up 65.4%. Online sales continues to track above 20% of total sales.

More reading

• Why these 2 ASX dividend shares may be just what your portfolio needs
• Got money to invest for dividends? Here are 2 ASX shares
• Down 9% today, why the Redbubble (ASX:RBL) share price continues to tumble
• 2 highly rated ASX dividend shares with generous fully franked yields
• 3 ASX shares to buy in May 2021

Motley Fool contributor Tristan Harrison owns shares of PACCURRENT FPO. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The S&P/ASX 200 Index (ASX: XJO) was out of form last week. Concerns over rising inflation in the United States spooked investors and led to the index dropping 66.6 points or 0.9% to end at 7,014.2 points.

While a good number of shares tumbled lower with the market, some fell more than most. Here’s why these were the worst performing ASX 200 shares last week:

Perenti Global Ltd (ASX: PRN)

The Perenti Global share price was the worst performer on the ASX 200 last week with a 28.6% decline. Investors were selling the mining services company’s shares following the release of an operational update. Perenti revealed that it will no longer be delivering on its guidance for second half revenue and margins in line with what it reported in the first half. Instead, due largely to COVID-19 headwinds and Australian labour market shortages, it is expecting softer earnings in the second half. It also warned that these headwinds will persist for the next 12 to 18 months.

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price was well and truly out of form and sank 21.2% lower last week. The catalyst for this was the infant formula company downgrading its FY 2021 guidance for the fourth time. The company now expects revenue of NZ$1.2 billion to NZ$1.25 billion with EBITDA of NZ$132 million to NZ$150 million. This will mean a year on year reduction in EBITDA of 73% to 76% year on year. Sustained weakness in the daigou channel and a massive NZ$103 million to NZ$113 million inventory provision were behind the underperformance.

Xero Limited (ASX: XRO)

The Xero share price wasn’t far behind with a disappointing 15.9% decline. The cloud-based business and accounting platform provider’s shares were sold off following the release of its full year results. Although Xero delivered strong growth on both the top and bottom lines, it was still short of the market’s expectations. This was particularly the case for its EBITDA, which was 16% below the market consensus estimate. In addition to this, higher than expected operating expense guidance for FY 2022 also weighed on sentiment.

PointsBet Holdings Ltd (ASX: PBH)

The PointsBet share price was a poor performer and dropped 13% over the five days. This appears to have been driven largely by weakness in the tech sector following a strong inflation reading in the United States. It wasn’t just PointsBet that was sinking. The S&P/ASX All Technology Index (ASX: XTX) tumbled 5.7% lower over the five days.

More reading

• These were the best performing ASX 200 shares last week
• ASX 200 rebounds, Treasury rises, Xero falls
• What drove the Commonwealth Bank (ASX:CBA) share price this week?
• Why is the Magellan (ASX:MFG) share price up 4% today?
• Why De Grey, GrainCorp, Pilbara Minerals, & Xero shares are dropping

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Pointsbet Holdings Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Xero. The Motley Fool Australia owns shares of and has recommended A2 Milk. The Motley Fool Australia has recommended Pointsbet Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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A number of fast-growing ASX tech shares are being sold off with worries about inflation and interest rates.

Lower prices might be able offer investors a better time to buy these opportunities.

Over the long-term, these ASX tech shares may be able to recover strongly:

Kogan.com Ltd (ASX: KGN)

The Kogan share price has fallen by 40% over the last three months. Several e-commerce ASX shares have fallen heavily recently. Online shopping businesses are now cycling against strong sales performance 12 months ago during the depths of COVID-19.

Even so, Kogan is still producing high levels of sales growth. In the three months to 31 March 2021, Kogan reported that gross sales rose by 47% and revenue grew by more than 65%.

But, excess inventory and lower sales growth have combined to cause problems for Kogan.

During the period, Kogan received inventory ordered in response to the high levels of demand seen in the first half of FY21. This led to the company ending up with high levels of inventory. But then demand fluctuated to lower levels than what had been seen during FY21. That meant the company had to store larger amounts of inventory than expected, resulting in high storage costs and demurrage fees. Kogan has increased promotional activity to compensate for this and optimise its inventory position.

Gross profit grew by 54%, which was faster than the gross sales growth, showing continued margin improvement.

But the inventory issues saw the adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) decline by 24%.  

What about the future? The ASX tech share said:

The board looks to the future with confidence as the business has grown its active customer base, invested in key strategic initiatives and has a strong level of in-demand inventory heading into the end-of-financial-year and Christmas trading periods while observing price inflation through global supply chains.

VanEck Vectors Video Gaming and eSports ETF (ASX: ESPO)

This exchange-traded fund (ETF) is about giving investors exposure to the world’s leading businesses in the video gaming and e-sports world.

If you know a bit about gaming you’ve probably heard of several of the ETF’s positions, including some of the biggest 10: Nvidia, Tencent, Sea, Advanced Micro Devices, Nintendo, Activision Blizzard, Netease, Electronic Arts, Bilibili and Nexon.

An ETF’s return is simply the combined performance of its underlying holdings. VanEck Vectors Video Gaming and eSports ETF has fallen in price by 10% over the last month and 20% since mid-February.

But the gaming businesses are exposed to strong underlying trends. The video game business is now supposedly bigger than both the movie and music industries, and e-sports is the world’s fastest-growing sport.

Video gaming has achieved an average annual revenue growth rate of 12% since 2015. E-sports is opening up a number of new revenue avenues including media rights, merchandise, ticket sales and advertising.

E-sports revenue has grown by an average of 28% each year since 2015. VanEck says:

With an active, engaged and relatively young demographic, the stage is set for sustainable long-term growth.

More reading

• 2 ASX dividend shares to buy with yields above 4%
• 2 beaten down ASX shares rated as buys
• Down 9% today, why the Redbubble (ASX:RBL) share price continues to tumble
• 2 high-growth, quality ETFs to buy
• These are the 10 most shorted shares on the ASX

Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Kogan.com ltd. The Motley Fool Australia has recommended Kogan.com ltd and VanEck Vectors ETF Trust – VanEck Vectors Video Gaming and eSports ETF. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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I’m a big fan of buy and hold investing and believe it is the best way for investors to grow their wealth.

To demonstrate how successful it can be, I like to pick out a number of popular ASX shares to see how much a single $20,000 investment 10 years ago would be worth today. This time around I have picked out the three ASX shares that are listed below:

BWP Trust (ASX: BWP)

This commercial property company has been a market beater over the last decade. This has been thanks to its growing portfolio of warehouses which are predominantly leased to hardware giant Bunnings Warehouse. A combination of inorganic and organic growth through rental increases has supported consistent earnings and distribution growth since 2011. This has led to BWP’s shares providing investors with an average total return of 13% per annum. This means a $20,000 investment 10 years ago would have grown to be worth ~$68,000 today.

Corporate Travel Management Ltd (ASX: CTD)

This corporate travel booker’s shares have been a fantastic place to invest over the last 10 years, even if they are trading almost 50% lower than their record high. Thanks to the company’s successful growth through acquisition strategy and its focus on technology, Corporate Travel Management’s sales and earnings and grown rapidly. For example, in FY 2011, the company generated revenue of $46.8 million for the 12 months. Whereas today, it recently reported third quarter revenue of $52.4 million. That’s 12% more revenue in just three months and despite COVID-19 headwinds still weighing heavily on its performance. During the last 10 years, its shares have generated a total return of 26.2% per annum for investors. This would have turned a $20,000 investment into $200,000.

NEXTDC Ltd (ASX: NXT)

Another company which has come a long way over the last decade is data centre operator NEXTDC. Thanks to the structural shift to the cloud, a significant increase in demand for data centre services, and the expansion of its network footprint, NEXTDC has delivered consistently solid operating earnings and revenue growth over the period. This has resulted in a sustained upward trajectory for the NEXTDC share price, underpinning market-beating returns for investors. Since 2011, its shares have provided an average total return of 21.4% per annum. This would have turned a $20,000 investment into ~$140,000 in 2021.

More reading

• These ASX dividend shares offer generous fully franked yields
• Little ASX software share to explode once everyone wakes up: fundie
• Why Zip (ASX:Z1P) and these ASX growth shares are rated as buys
• 2 fantastic ASX 50 shares that could be in the buy zone
• Is the NEXTDC (ASX:NXT) share price in the buy zone?

Motley Fool contributor James Mickleboro owns shares of NEXTDC Limited. The Motley Fool Australia owns shares of and has recommended Corporate Travel Management Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Weakness in the tech sector weighed heavily on the S&P/ASX 200 Index (ASX: XJO) last week. This led to the benchmark index falling a disappointing 66.6 points or 0.9% to end the period at 7,014.2 points.

Fortunately, not all shares on the index tumbled lower. Here’s why these were the best performing ASX 200 shares last week:

Omni Bridgeway Ltd (ASX: OBL)

The Omni Bridgeway share price was the best performer on the ASX 200 last week with an 11.1% gain. This gain was driven by the litigation funding provider announcing the settlement of the Wivenhoe class action with the State of Queensland and Sunwater for an aggregate amount of $440 million. Omni Bridgeway will receive a distribution from the settlement of the project costs and the project management fee totalling approximately $30 million.

Crown Resorts Ltd (ASX: CWN)

The Crown Resorts share price was the next best performer with a 7.6% gain. The catalyst for this was news that rival Star Entertainment Group Ltd (ASX: SGR) has tabled a conditional, non-binding, indicative merger proposal. On a pro forma basis, Star’s offer implies a price in excess of $14.00 per Crown share. This was a 15.5% premium to its last close price at the time. Crown revealed that it is considering the offer, along with an improved bid from Blackstone.

Resolute Mining Limited (ASX: RSG)

The Resolute share price wasn’t far behind with a gain of 7.5% over the five days. While the gold miner announced the appointment of a new CEO at the end of the week, this wasn’t the reason for the gain. In fact, the Resolute share price fell almost 2% on Friday following the announcement. The gain may have been due to bargain hunters looking for undervalued options in the gold sector. After all, the Resolute share price is still down 31% year to date even after this gain.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price was on form and charged 7.45% higher last week. All of this gain and more was made on Friday after the coal producer’s shares jumped 9%. This was driven by the release of two positive broker notes that morning. Both Macquarie and Credit Suisse upgraded its shares to an outperform rating on valuation grounds. Macquarie has a $1.70 price target and Credit Suisse has a $1.55 price target.

More reading

• ASX 200 rebounds, Treasury rises, Xero falls
• What drove the Commonwealth Bank (ASX:CBA) share price this week?
• Crown Resorts (ASX:CWN) share price lifts amid sell-off push
• Why is the Magellan (ASX:MFG) share price up 4% today?
• The Commonwealth Bank (ASX:CBA) share price hits new record high

Motley Fool contributor James Mickleboro 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 Bruce Jackson.

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Respected fund manager Wilson Asset Management (WAM) has recently identified two ASX shares that it thinks are buys.

WAM operates several listed investment companies (LICs). Some focus on larger companies like WAM Leaders Ltd (ASX: WLE), whilst others go for smaller companies like WAM Research Limited (ASX: WAX) and WAM Microcap Limited (ASX: WMI).

WAM Microcap targets small cap ASX shares with a market capitalisation under $300 million at the time of acquisition.

WAM says WAM Microcap targets the most exciting undervalued growth opportunities in the Australian microcap market.

The WAM Microcap portfolio has delivered gross returns (that’s before fees, expenses and taxes) of 25% per annum since inception in June 2017, which is superior to the S&P/ASX Small Ordinaries Accumulation Index average return of 11.6%.

These are two ASX shares that WAM outlined in its most recent monthly updates:

Dusk Group Ltd (ASX: DSK)

This is a pick by WAM Microcap.

Dusk is the leading Australian omni-channel specialty retailer that is focused on home fragrance products.

The ASX share recently gave a trading update for the third quarter of FY21 with sales of $27.7 million, up from $18.4 million in the prior year. Financial year to date sales were $118.7 million, up from $77 million in the prior corresponding period.

Wilson Asset Management also pointed out that full year sales guidance is for a range of between $147 million to $151 million. It’s delivering a lot of growth.

Dusk had a strong inventory position for Mother’s Day in May according to WAM. New stores will further add to growth, it has added 10 new stores over the last year.

The fund manager is positive on Dusk because the disciplined cost management provides the business with operating leverage as it rolls out new stores across the country.

Imdex Limited (ASX: IMD)

This is a pick by WAM Research.

What’s Imdex? The LIC explains that it’s a global provider of end to end technology solutions for mining exploration and development, developing drilling optimisation products and sensors to provide real-time data.

Imdex is truly a global business with operations in the mining regions in Asia Pacific, Europe, Africa and the Americas. It has a presence on 70% of minerals drilling projects globally and sales in more than 100 countries.

The ASX share has benefited from strong copper prices, which reached almost US$10,000 per tonne in April, which is the highest in 10 years.

WAM Research explained where it’s seeing opportunities. Clean energy and the battery mineral space continue to see significant investments. This help gives copper, nickel and lithium a strong outlook because of all of the demand.

Wilson Asset Management also thinks that the company will benefit from higher global exploration budgets after years of under-investment.

More reading

• Is there still upside to the JB Hi-Fi (ASX:JBH) share price?
• Why retailers are stepping up as top performing ASX shares this week
• Why the Dusk (ASX:DSK) share price is in focus

Motley Fool contributor Tristan Harrison 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 Bruce Jackson.

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The SKY Metals Ltd (ASX: SKY) share price was up today after the company noted copper sulphides in its latest exploration update.

SKY Metals shares were trading 3.4% higher at 15 cents per share at the close of trade. 

Let’s see what’s spearheading a minor recovery in the SKY Metals share price today.

SKY Metals’ wide copper sulphides

SKY Metals reported exploration updates for three separate New South Wales drill projects today, all with ostensibly solid results.

The company has intersected wide zones of copper sulphides in its maiden reverse circulation drilling operations at its Iron Duke project. Iron Duke is a copper-gold project. 

The copper price is currently barnstorming near its all-time highs, so copper sulphides may have a positive impact on the SKY Metals share price. SKY Metals has submitted the samples from its Iron Duke project and is currently awaiting full assay results to discover whether its found any high-grade results.

The company clearly has faith in its Iron Duke project, however, as it’s already secured a diamond drilling rig from a contractor that’s due to start within two weeks.

The company also reported results from its Galwadgere project, another copper and gold mine.

SKY Metals currently has resource modelling underway for the Galwadgere deposit, but drill core re-sampling from its historic Galwadgere diamond drill holes has delivered “wide copper-gold results”.

The company reported  27.8 metres of 0.5% copper & 0.07g/t of gold from 175 metres deep.

Meanwhile, its Cullarin gold, lead and zinc mine has revealed “further strong zones of gold-lead-zinc” according to the company. SKY Metals is reporting nine metres of 0.57g/t gold, 0.31% copper, and 4.55% lead and zinc from 136 metres deep.

Sky Metals share price snapshot

The Sky Metals share price had barely nudged above four cents in the entire previous decade until 2020 when it tripled in four months between January and April last year.

It’s since fallen back off those highs and has been steady around the 15 cent mark in 2021. Overall, it’s down more than 50% in the past 12 months.

More reading

• Why is the SkyCity (ASX:SKC) share price falling today?
• 2 high quality ASX dividend shares rated as buys
• ASX 200 rebounds, Treasury rises, Xero falls
• Broker eyes these ASX 200 shares following Federal Budget
• Could it be time to give ASX gold shares another chance?

Motley Fool contributor Lucas Radbourne-Pugh 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 Bruce Jackson.

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The SKYCITY Entertainment Group Limited (ASX: SKC) share price lost ground today after the company revised the details around a $115 million bond offer made last month.

SkyCity shares were trading down 0.31% at $3.26 at the market close after the company revised upwards the margin range on its six-year bond offers.

The casino and hotel operator is still recovering from a huge share price fall early last year, so let’s find out how today’s report is affecting the SkyCity share price today.

SkyCity’s bond offers

In April, SkyCity announced it was offering up to NZ$125 million (AU$116 million) in 6-year, unsecured, unsubordinated, fixed-rate bonds. The bonds will mature on 21 May 2027.

Then on 10 May 2021, SkyCity announced an indicative issue margin range of 1.6% per annum and a 3% minimum interest rate for the bonds. Today, the company has revised the indicative issue margin range to 1.7% per annum, but it’s kept the 3% minimum interest rate.

The company said it upped the rate in response to “market changes”. It’s offering the bonds to institutional investors and New Zealand retail investors. SkyCity has also left open the option to increase bond sales by a further $50 million to $175 million total if the offer is oversubscribed.

The issue margin and interest rate for the bonds will be set following a bookbuild process, which started today but won’t close until 17 May. 

The company noted the purpose of the capital raising initiative in its indicative terms sheet, published today:

The offer forms part of SkyCity Group’s ongoing capital management strategy, enhancing diversity of sources of funding and lengthening the debt maturity profile. The net proceeds of the offer will be used to reduce the drawings on SkyCity’s bank facilities.

SkyCity share price snapshot

As recently as two months ago, the SkyCity share price had been one of the stronger performing ASX gaming shares. However, its 12-month gain through 2020 to March this year has more than halved since then and it’s now 5% down against the consumer cyclical sector in the past year.

This is despite slow and solid gains since March. The SkyCity share price has gained steadily since the company announced the bond offer at the end of last month.

More reading

• 7 ASX 200 shares with emission reduction strategies

Motley Fool contributor Lucas Radbourne-Pugh 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 Bruce Jackson.

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This year has seen record-high iron prices as well as a record high for the S&P/ASX 200 Index (ASX: XJO), and one share is positively booming in the excitement.

The Champion Iron Ltd (ASX: CIA) share price has gained 45.6% since the start of 2021, making it one of the best performing ASX 200 shares of 2021 so far.

After hitting an intraday high of $7.31, the Champion Iron share price has since retreated and was trading at $7.02, up 0.29% at the market close today.

Its year-to-date performance has beaten ASX 200 iron ore peers including Rio Tinto Limited (ASX: RIO) and BHP Group Ltd (ASX: BHP). These iron ore giants have gained 8.73% and 15.12% respectively.

So, what’s been driving the Champion Iron share price to perform better than other ASX 200 iron miners?

A quick introduction

Champion Iron is an iron ore exploration and development company with a number of projects in Canada’s Québec region.

As well as gaining 45% since the start of this year, the Champion share price has lifted 220% over the last 12 months.

It has a market capitalisation of around $3.5 billion, with approximately 493 million shares outstanding.

ASX 200 Champion in more than name

The Champion share price got off to a great start for 2021 on the ASX.

In late January, it released its third-quarter results for the 2021 financial year. Within the results were record-high revenues, earnings before interest, tax, depreciation, and amortisation (EBITDA), net income, and net cash flow.

Despite the positive results, the Champion Iron share price closed the day 9% lower than the previous session.

On 22 March, Champion Iron officially entered the ASX 200.

Then, on 6 April, the Champion Iron share price gained 5% after the company announced it has completed its acquisition of the Kamistiatusset iron ore project (Kami Project).

In addition to the project, the acquisition saw the company secure another 8 million annual tonnes of port capacity in Sept-Isles, Que, where it was already sending iron concentrate from its Bloom Lake Project.  

Finally, it released its fourth-quarter activities report on 29 April. Within the update was plenty of good news, including the announcement of a new annual production record of 8,001,200 wet metric tonnes from Bloom Lake.

More reading

• Top brokers name 3 ASX dividend shares to buy today
• The ASX miners with the biggest valuation upside to record iron ore prices
• ASX 200 shares hit all-time high! How did we get here?
• All time high! Here’s how much ASX investors have made on BHP shares
• The ASX miners caught in the FOMO trade as copper smashed record highs

Motley Fool contributor Brooke Cooper 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 Bruce Jackson.

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With savings accounts and term deposits still offering very low interest rates, the share market arguably remains the best place to earn a passive income.

However, with so many dividend shares to choose from, it can be hard to decide which ones to buy. To help narrow things down, I’ve picked out two that are highly rated right now:

Charter Hall Social Infrastructure REIT (ASX: CQE)

The first ASX dividend share to consider is the Charter Hall Social Infrastructure REIT. It is a real estate investment trust that has a focus on social infrastructure properties.

Demand for its properties has been very strong, leading to the company recently reporting a sky high occupancy rate of 99.7%. Positively, these tenants won’t be leaving any time soon. Charter Hall Social Infrastructure REIT’s weighted average lease expiry (WALE) stood at a sizeable 14 years at the end of the first half. Another positive is that the number of leases on fixed rent reviews has increased to 63.3%, which bodes well for its future rental income growth.

In light of its strong form in FY 2021, the company intends to pay a 15.7 cents per unit distribution. Based on the current Charter Hall Social Infrastructure share price, this represents a 4.8% yield.

One broker that is a fan is Goldman Sachs. This morning the broker retained its conviction buy rating and lifted its price target to $3.60. It commented: “We believe the current pricing provides an attractive investment opportunity. CQE is currently trading at an 8% premium to its NTA versus its historical average premium of 13% (since 2014). Moreover, it is trading at a 37% discount to its peer ARF versus its historical spread of a 12% discount.”

Super Retail Group Ltd (ASX: SUL)

Another ASX dividend share to look at is Super Retail. It is the retail conglomerate behind the BCF, Macpac, Rebel, and Super Cheap Auto brands. Like the Charter Hall Social Infrastructure REIT, it has been a positive performer in FY 2021.

During the first half of FY 2021, it reported a 23% increase in half year sales to $1.78 billion and a 139% increase in underlying net profit after tax to $177.1 million. It then followed this up with a trading update which recently revealed like-for-like sales growth of 28% for the first 44 weeks of FY 2021.

Goldman Sachs is also a fan of Super Retail. It currently has a buy rating and $15.00 price target on its shares. Goldman is forecasting an 84 cents per share fully franked dividend in FY 2021. Based on the current Super Retail share price of $11.97, this represents a 7% yield.

More reading

• 2 quality ASX dividend shares for income investors next week
• 2 buy-rated ASX dividend shares for income investors
• Top broker tips Super Retail (ASX:SUL) share price to smash the market
• ASX 200 rises, Flight Centre drops, Super Retail grows
• ASX 200 up 0.2%: SEEK hits record high, Flight Centre tumbles

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Super Retail Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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