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3 high quality ASX dividend shares for patient investors

If you’re looking to invest in dividend shares and you’re not in immediate need for income, then I think the three ASX dividend shares listed below could be worth considering.

All three dividend shares have been negatively impacted by the pandemic this year. However, I’m confident their performances will improve in FY 2021 and allow them to pay generous dividends again.

Here’s why I would buy them:

Lendlease Group (ASX: LLC)

Earlier this week this international property and infrastructure company released its unaudited results for FY 2020 and revealed a sharp decline in profit. While this was disappointing, I believe all the bad news is now built into the Lendlease share price and the company can start afresh in FY 2021. I’m confident that its burgeoning global development pipeline have positioned the company perfectly for solid earnings growth in FY 2021 and beyond. As a result, I estimate that Lendlease will pay a 57 cents per share dividend next year. This equates to a 4.4% dividend yield.

Sydney Airport Holdings Pty Ltd (ASX: SYD)

Another company which I expect to bounce back strongly in FY 2021 is Sydney Airport. Unfortunately, its terminals are a bit of a ghost town right now because of the pandemic. But with restrictions easing and state borders reopening, I expect domestic travel markets to recover in 2021 to the point that it is able to pay a decent distribution in the region of 29 cents per unit. Based on the current Sydney Airport share price, this represents a 5% FY 2021 dividend yield.

Transurban Group (ASX: TCL)

A final dividend share to look at buying is Transurban. As with Sydney Airport, its toll roads were virtually empty at the height of the pandemic. However, with restrictions easing, traffic volumes have been recovering and toll revenues are improving. I’m not convinced the company will pay a final distribution, but I expect them to return to relatively normal levels in FY 2021. I estimate that it will pay shareholders a 49 cents per unit distribution next year. Based on today’s Transurban share price, this equates to a 3.4% distribution yield.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

*Returns as of June 30th

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Transurban Group. 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.

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