As was widely expected the Reserve Bank kept interest rates on hold at the historic low of 1.5% on Tuesday. But according to analysts at Commonwealth Bank of Australia (ASX: CBA) it won?t be staying at that level for long.
Analysts at Australia?s largest bank continue to expect a further rate cut to 1.25% coming in November. So with rates at extreme lows investors might want to consider taking a closer look at these three dividend shares for their income needs.
G8 Education Ltd (ASX: GEM)
After recently reporting a mixed half year report, the shares of this leading childcare operator came under…
As was widely expected the Reserve Bank kept interest rates on hold at the historic low of 1.5% on Tuesday. But according to analysts at Commonwealth Bank of Australia (ASX: CBA) it won’t be staying at that level for long.
Analysts at Australia’s largest bank continue to expect a further rate cut to 1.25% coming in November. So with rates at extreme lows investors might want to consider taking a closer look at these three dividend shares for their income needs.
G8 Education Ltd (ASX: GEM)
After recently reporting a mixed half year report, the shares of this leading childcare operator came under heavy selling pressure and dropped by around 16%. Personally I believe this sell off has been largely overdone and the results were not as bad as the market reaction would indicate. Especially considering the second half of G8 Education’s year is predominantly the stronger half due to seasonal factors. With its shares now expected to provide a fully franked 8% dividend in FY 2017 according to CommSec, it has become an incredibly attractive income investment in my view.
IVE Group Ltd (ASX: IGL)
This market-leading marketing and print communications provider recently posted a full year net profit of $20.9 million, which was around 3% higher than its prospectus forecast. Another aspect that beat its prospectus forecast was its dividend. IVE Group will pay out a fully franked 8.6 cents per share final dividend, compared to its forecast of 8.4 cents. At the current share price this works out to being a fully franked 3.9% and is available to shareholders on the register at 14 September 2016.
Telstra Corporation Ltd (ASX: TLS)
Whilst this telecommunications giant may be an incredibly obvious pick, it is a great one nonetheless in my opinion. Following an almost 10% decline in its share price in the last 30 days, Telstra’s shares are now expected to provide investors with an estimated fully franked 6.2% dividend in FY 2017. Although earnings growth may be starting to show signs of slowing, you can certainly count on Telstra to pay a strong dividend.
If you're looking for even more dividend ideas then look no further than these three fantastic dividend shares. Each share provides investors with solid, growing, fully franked dividends and could prove to be a big boost to your portfolio today if you ask me.
Why These 3 Blue Chip Shares Are Set to Soar in 2016
Discover The Motley Fool's Top 3 blue chips for 2016. These 3 'new breed' shares pay fully franked dividends AND offer the prospect of significant capital appreciation. Simply click here to gain access to this comprehensive FREE investment report.
No credit card required!
Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
HOT OFF THE PRESSES: Motley Fool’s #1 Dividend Pick for 2017!
With its shares up 155% in just the last five years, this ‘under the radar’ consumer favourite is both a hot growth stock AND our expert’s #1 dividend pick for 2017. Now we’re pulling back the curtain for you... And all you have to do to discover the name, code and a full analysis is enter your email below!