Forget Commonwealth Bank of Australia and buy these dividend stars

While I think that the Commonwealth Bank of Australia (ASX: CBA) dividend is a good option for income investors after its recent share price decline, a lot of investors will already have meaningful exposure to the banks.

So in order to maintain a diversified portfolio, investors might want to consider one of these dividend shares instead.

Here’s why I like them:

Accent Group Ltd (ASX: AX1)

Although this footwear retailer’s shares are trading close to a 52-week high after its strong half-year result last month, they still provide investors with an above-average dividend yield. Based on the last close price, Accent’s shares offer a trailing fully franked 4.6% dividend. I think this is a great yield and believe it can grow significantly in the future if the company’s Athlete’s Foot and HYPE brands continue their strong form.

Dicker Data Ltd (ASX: DDR)

According to a market update released last month, this wholesale distributor of computer software and hardware expects to deliver a 6% increase in earnings in FY 2018. Whilst this growth isn’t by any means explosive, it would have been stronger had its New Zealand business not been negatively impacted by the loss of its Cisco contract. Pleasingly, despite the slower earnings growth, management intends to increase its dividend by 10% this year to 18 cents per share. This equates to a forward fully franked 6.2% yield.

Japara Healthcare Ltd (ASX: JHC)

One company that I think stands to benefit greatly from Australia’s ageing population is this leading aged care operator. I think the tailwinds it is experiencing, its strong management team, quality portfolio, and sizeable expansion plans could put it in a position to deliver solid earnings and dividend growth over the long term. At present Japara’s shares provide investors with an annualised partially franked 4.1% dividend.

Another company which I think is destined to deliver strong earnings and dividend growth in the long term is the top dividend stock.

OUR #1 dividend pick to grow your wealth over the new financial year is revealed for FREE here!

Financial year 2018 is here and The Motley Fool’s dividend detective Andrew Page has revealed his must buy dividend share to grow your wealth in 2018.

You might not know this market leader's name, but it's rapidly expanding into a highly profitable niche market here in Australia. Even better, the shares boast a strong, fully franked dividend that should balloon in the years to come. In other words, we're looking at the holy grail of incredible long-term growth potential AND income you can watch accruing in your account in real time!

Simply click here to grab your FREE copy of this up-to-the-minute research report on our #1 dividend share recommendation now.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Dicker Data Limited. 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 Scott Phillips.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.