I think it is fair to say that the market weakness over the last 12 months has been very disappointing. But one positive is that it has pulled down a number of shares to levels that mean they offer attractive dividend yields.
Two ASX dividend shares that I would buy after this market weakness are listed below. Here's why I think they are in the buy zone right now:
Bravura Solutions Ltd (ASX: BVS)
I think this provider of software products and services to the wealth management and funds administration industries could be a great option for income investors in October. While I wouldn't normally class Bravura as a dividend share, a sizeable pullback in its share price has now made it one.
That pullback has been driven largely by management's underwhelming guidance for FY 2021. It has warned that the pandemic could lead to flat profits this year. While this is disappointing, I think the selloff has been overdone and brought its shares down to an attractive level. Especially given the strong growth potential of its key Sonata product, which could underpin material dividend increases in the future. Based on the latest Bravura share price, I estimate that it offers an attractive forward 3.3% dividend yield.
Vitalharvest Freehold Trust (ASX: VTH)
Another ASX dividend share for income investors to consider buying is Vitalharvest. Its shares provide ASX investors with exposure to agricultural property assets which are exposed to the growing global agricultural demand for nutritious and healthy food. Its portfolio currently comprises four berry properties and three citrus properties.
While these farms have been negatively impacted by the drought, favourable weather conditions have returned. This appears to have put the company in a strong position now. Based on the current Vitalharvest share price, it offers investors an estimated forward 6% distribution yield.
