Luckily for income investors during these low interest rate times, the Australian share market is home to a number of companies offering very generous yields.
Two that do just this are listed below. Here's why they could be top options for income investors:
Image source: Getty Images
Aventus Group (ASX: AVN)
The first ASX dividend share to look at is this leading owner, manager, and developer of retail parks. Aventus has been performing very positively during the pandemic. This has been driven by its high weighting to household goods and everyday needs retailing, which have experienced strong and sustained consumer demand.
Things have been going so well that Aventus recently revealed that the value of its properties have increased by $254 million or 12% since the end of December. It also advised that it expects its earnings to grow 7% this year, compared to its prior guidance of 4% growth.
This went down well with analysts at Goldman Sachs, who retained their buy rating and lifted their price target to $3.27. The broker is also forecasting distributions per share of 16.7 cents, 18.85 cents, and then 20.4 cents between now and FY 2023. Based on the current Aventus share price, this represents yields of 5.2%, 5.9%, and 6.4%, respectively.
Mineral Resources Limited (ASX: MIN)
Another high yield ASX dividend share to consider is Mineral Resources. It is a mining and mining services company with exposure to iron ore and lithium.
Thanks to the sky high iron ore price, Mineral Resources has been tipped by analysts at Macquarie to reward shareholders with some big dividends over the next couple of years. It is for this reason that the broker currently has an outperform rating and $73.00 price target on the company's shares.
Macquarie is expecting Mineral Resources to pay fully franked dividends of $3.32 per share in FY 2021 and then $3.05 per share in FY 2022. Based on the latest Mineral Resources share price of $51.64, this will mean fully franked yields of 6.4% and 5.9%, respectively, over the next two financial years.
