With an average dividend yield of approximately 4.4%, the Australian share market is one of the most generous markets in the world.
Which certainly is great news for income investors in this low interest rate environment. But with so many dividend shares to choose from it can be hard to decide which ones to buy.
In order to narrow things down for you, I’ve picked out three that I think are amongst the best on the market right now:
Dicker Data Ltd (ASX: DDR)
Dicker Data is a computer software and hardware wholesale distributor which has been growing at a solid rate consistently for many years. Another thing that I like about this founder-led company is that it has executives with plenty of skin in the game. This means that management’s interests are firmly aligned with shareholders. This year the Dicker Data board intends to pay an 18 cents per share fully franked full year dividend in quarterly instalments. Based on its last close price, this means its shares offer a generous forward yield of 6.3%.
National Storage REIT (ASX: NSR)
National Storage is the owner and operator of one of Australia and New Zealand’s largest self-storage networks. I’m a big fan of the company due to its robust business model, defensive qualities, and solid growth prospects from to its growth through acquisition strategy. At present the company’s units offer investors a generous trailing 5.5% distribution yield. If its expansion plans are a success then I believe it would put the company in a position to grow its distribution at solid rate over the coming years.
Rural Funds Group (ASX: RFF)
I think that Rural Funds would be a great option for income investors. This agriculture-focused real estate property trust owns a diverse portfolio of properties across different geographies and sectors. With Australia quickly becoming the food bowl of Asia, I believe the company is well-positioned to benefit over the long-term. Especially with its properties boasting long-term tenancy agreements and rental indexation. This year the Rural Funds board intends to lift its distribution to 10.43 cents per unit, meaning its units currently offer a forward 4.7% yield.
Looking for even more dividends? Then don't miss out on these top income shares that have been named as the ones to buy in 2019.
With interest rates likely to stay at rock bottom for months (or YEARS) to come, income-minded investors have nowhere to turn... except dividend shares. That’s why The Motley Fool’s top analysts have just prepared a brand-new report, laying out their top 3 dividend bets for 2019.
Hint: These are 3 shares you’ve probably never come across before.
They’re not the banks. Not Woolies or Wesfarmers or any of the “usual suspects.”
We think these 3 shares offer solid growth prospects over the next 12 months. The first two currently offer fat, fully franked yields. The last is a surprising REIT offering you the benefits of being a landlord with none of the hassle! You’ll discover all three names and codes in "The Motley Fool’s Top 3 Dividend Shares for 2019."
Even better, your copy is free when you click the link below. Fair warning: This report is brand new and may not be available forever. Click the link below to be among the first investors to get access to this timely, important new research!
The names of these top 3 dividend bets are all included. But you will have to hurry. Depending on demand – and how quickly the share prices of these companies move – we may be forced to remove this report.
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 and RURALFUNDS STAPLED. The Motley Fool Australia has recommended National Storage REIT. 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.