With low interest rates likely to be here to stay for some time to come, it certainly is a difficult time for income investors.
But don't worry, because there are plenty of ASX dividend shares that can help you overcome low rates. Two that are highly rated are listed below:
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National Storage REIT (ASX: NSR)
The first ASX dividend share to look at is National Storage. It is a leading self-storage focused real estate investment trust with a network of over 200 centres.
While this is a large number, management doesn't plan to stop there. It continues to see room to expand its network in the future via its development projects and growth through acquisition strategy.
This should be supportive of further growth in its income and distributions over the next decade. Especially given the improving housing market, which traditionally results in growing demand for its services as people move homes or downsize.
In FY 2021, the company expects to report underlying earnings per share of 7.7 cents to 8.3 cents. From this, it plans to pay 90% to 100% out to shareholders as distributions.
Based on the middle of these guidance ranges, its shares offer investors a forward 3.8% dividend yield.
Super Retail Group Ltd (ASX: SUL)
Another ASX dividend share to consider is this retail conglomerate. Super Retail is the name behind popular retail brands BCF, Macpac, Rebel, and Super Cheap Auto.
Demand for its offering has been strong over the last 12 months thanks to a redirection in consumer spending. This led to Super Retail reporting a 23% increase in first half sales to $1.78 billion and a 139% increase in underlying net profit after tax to $177.1 million.
Pleasingly, Goldman Sachs is expecting a strong second half from Super Retail. As a result, it suspects that special dividend could be coming and is forecasting an 81 cents per share fully franked total dividend for FY 2021. Based on the latest Super Retail share price, this represents a 6.8% yield.
Goldman Sachs has a buy rating and $15.00 price target on its shares.
