Looking to bank an extra $5,000 of passive income in FY 2027 from Qantas Airways Ltd (ASX: QAN) shares?

With shares in the S&P/ASX 200 Index (ASX: XJO) airline having returned to earth following their record highs in August last year, now could be an opportune entry point to get a market beating yield from those Qantas dividends.

As you may recall, it was only back in April 2025 that Qantas’ twice yearly dividend payouts resumed. The airline suspended its passive income payments in 2020 amid the travel crushing impacts of the global pandemic.

But with air travel having resumed, and profits rolling in, the Qantas dividend is back in play.

Tapping into the ASX 200 airline for dividends

Over the past 12 months, Qantas has declared two fully franked dividends, both 19.8 cents per share.

Qantas paid the interim dividend on 15 April.

The final Qantas dividend will be paid out on 14 October.

That passive income payout is still up for grabs, by the way. Qantas shares trade ex-dividend on 15 September. So, you’ll need to own stock in the Flying Kangaroo at market close on Monday, 14 September, to claim that payout.

This also means that the yield we’re looking at here is partly a trailing yield and partly a pending yield.

Since we know how much the upcoming dividend is and the current Qantas share price, we can calculate the pending yield with certainty.

What we don’t know is the amount of the upcoming interim dividend next year. So, we’ll base that on this year’s interim payout.

Trailing yields, are by their nature, backwards looking. Future Qantas dividend payouts could be higher or lower depending on a range of macroeconomic and company specific factors. For Qantas that includes things like upcoming travel demand, and the trajectory of jet fuel costs, which analysts can only do their best to guess at today.

With that said…

How many Qantas shares do I need to buy for $5,000 in passive income?

Over the past 12 months, Qantas has paid – or shortly will pay – 39.6 cents per share in fully franked dividends.

At the recent share price of $9.05, the ASX 200 airline trades on a fully franked dividend yield (partly trailing, partly pending) of 4.4%.

So, to earn $5,000 of passive income in the 2027 financial year, you’d need to invest $113,636 in the stock today.

Or 12,557 Qantas shares.

The post How many Qantas shares do I need to buy for $5,000 of passive income in FY27? appeared first on The Motley Fool Australia.

More reading

• 33 ASX shares going ex-dividend next week
• Top 3 ASX 200 shares now below their 200-day moving average
• 3 ASX 200 shares tipped to return 27% to 87%
• Morgan Stanley tips Qantas shares to climb 38%
• 6 ASX shares tipped by brokers to rise 34% to 88%

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.

If you are lucky enough to have $5,000 to invest in ASX dividend shares, then read on.

That’s because listed below are three top ASX shares that could be great picks for income investors.

Here’s what you need to know about them:

HomeCo Daily Needs REIT (ASX: HDN)

The first ASX dividend share to consider is HomeCo Daily Needs REIT.

This property company owns a portfolio of neighbourhood retail, large-format retail, healthcare, and other assets linked to everyday spending.

Its tenants include supermarkets, pharmacies, healthcare providers, childcare operators, pet stores, and other businesses that people continue to use through different economic conditions.

I think this gives HomeCo Daily Needs REIT an attractive income profile. Rental income is supported by a diverse tenant base, while the focus on daily needs can make the portfolio more defensive than property assets that rely heavily on discretionary spending.

For income investors, that combination of recurring rent and a portfolio built around practical, well-used properties could make this a solid long-term option.

Super Retail Group Ltd (ASX: SUL)

Another ASX dividend share I would look at is Super Retail Group.

It owns some of Australia’s best-known retail brands. This includes Supercheap Auto, rebel, BCF, and Macpac, which have built strong positions in their respective markets.

Supercheap Auto benefits from ongoing spending on vehicle maintenance and accessories, BCF is well established in outdoor recreation, rebel is a major sporting goods retailer, and Macpac gives the group exposure to outdoor clothing and equipment. That creates several different sources of earnings under one roof.

Retail spending can be up and down, but Super Retail has established brands, a large store network, and loyal customer bases.

If the company can keep generating strong cash flow from these businesses, it should remain well placed to reward shareholders with dividends over time.

Woolworths Group Ltd (ASX: WOW)

A final ASX dividend share for income investors to consider is Woolworths Group.

Woolworths is at the centre of everyday household spending thanks to its vast supermarket operations. That makes it quite different from many retailers, which may struggle when consumers are under pressure to watch their spending.

And while Woolworths is not necessarily the ASX share investors would choose for the highest dividend yield, it could be a good option for someone building a diversified dividend portfolio.

After all, its combination of defensive earnings, strong cash generation, and a long history of returning money to shareholders is attractive.

The post Where to invest $5,000 into ASX dividend shares appeared first on The Motley Fool Australia.

More reading

• Why I’d rather buy growing dividends than chase the highest ASX yields
• Consumer sentiment is low. These ASX shares stand to benefit
• 3 ASX dividend shares with yields over 6%
• 3 ASX passive income stocks to buy with $50,000
• How much do I need in my superannuation to earn $10,000 passive income every month?

Motley Fool contributor James Mickleboro has positions in Woolworths Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Super Retail Group. The Motley Fool Australia has positions in and has recommended Super Retail Group. The Motley Fool Australia has recommended HomeCo Daily Needs REIT. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

On Thursday, the S&P/ASX 200 Index (ASX: XJO) had a disappointing day and dropped deep into the red. The benchmark index fell 1% to 8,819.4 points.

Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:

ASX 200 expected to tumble

The Australian share market looks set for another poor session on Friday following a weak night of trade in the United States. According to the latest SPI futures, the ASX 200 is expected to open 78 points or 0.9% lower this morning. On Wall Street, the Dow Jones was down 0.6%, the S&P 500 fell 0.6%, and the Nasdaq dropped 0.65%.

Oil prices rocket

ASX 200 energy shares Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a strong finish to the week after oil prices jumped again overnight. According to Bloomberg, the WTI crude oil price is up 8.2% to US$103.93 a barrel and the Brent crude oil price is up 7.4% to US$108.70 a barrel. Traders were bidding oil higher after bracing for a prolonged Iran war.

Hold Seek shares

The Seek Ltd (ASX: SEK) share price could be fully valued according to Bell Potter. This morning, the broker has retained its hold rating on the job listings company’s shares with a trimmed price target of $13.80 (from $15.20). It said: “We await a positive shift in sentiment or visibility on jobs volumes recovery; potential near term Growth Fund monetisation remains an asymmetric upside risk, however the rising interest rate backdrop may also be an additional headwind in seeking a desired exit price for nominated assets.”

Gold price drops

ASX 200 gold shares including Evolution Mining Ltd (ASX: EVN) and Newmont Corporation (ASX: NEM) could have a poor finish to the week after the gold price dropped overnight. According to CNBC, the gold futures price is down 2.3% to US$4,358.5 an ounce. This was driven by the release of US inflation data, which boosted US rate hike bets.

Buy Graincorp shares

The team at Bell Potter sees value in Graincorp Ltd (ASX: GNC) shares at current levels. This morning, the broker has retained its buy rating on the grain exporter’s shares with an improved price target of $7.50 (from $7.15). It said: “Buy rating retained. The recent ABARE crop report was positive lead for FY27e and is yet to filter entirely through consensus expectations. However, the margin backdrop at this point, in terms of both grain basis and oilseed crush margins, remains the strongest it has for three years. To us this is key, as consensus FY27e expectations (which the 2026-27 crop underwrites) looks to be carrying forward the margin environment of FY25-26e, which was materially weaker. Trading at ~5.0x FY27e PBTDA we see the valuation as undemanding.”

The post 5 things to watch on the ASX 200 on Friday appeared first on The Motley Fool Australia.

More reading

• How much superannuation do I need to earn $80,000 per year in passive income?
• Why this broker thinks GrainCorp shares are a buy after yesterday’s fall
• Here are the top 10 ASX 200 shares today
• Is the ASX heading for a stock market crash?
• 9 ASX 200 shares earning strengthened buy ratings this week

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group Ltd. 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.