2 buy-rated ASX dividend shares for income investors

Check out these buy-rated ASX dividend shares…

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Are you looking for some attractive dividend yields to boost your income? Then you may want to look at the ones listed below.

Here’s why these ASX dividend shares have been tipped as great options for income investors right now:

Mineral Resources Limited (ASX: MIN)

If you’re happy to invest in the resources sector, then Mineral Resources could be an ASX dividend share to consider. It is a mining and mining services company with a focus on two hot commodities – iron ore and lithium.

It is thanks to its exposure to these metals that Mineral Resources has been tipped to pay very generous dividends in the near term.

For example, analysts at Macquarie are 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 $58.14, this will mean fully franked yields of 5.7% and 5.2%, respectively, over the next two financial years.

Macquarie currently has an outperform rating and $73.00 price target on the company’s shares.

Super Retail Group Ltd (ASX: SUL)

Another ASX dividend share to look at is Super Retail. It is the retail group behind the BCF, Macpac, Rebel, and Super Cheap Auto retail brands.

Super Retail has been experiencing strong sales growth in FY 2021 thanks to a favourable redirection in consumer spending. Combined with margin expansion, this led to the company reporting a 139% increase in half year underlying net profit after tax to $177.1 million.

One broker that is very positive on the retailer is Credit Suisse. It likes the company due to its strong brands and equally strong market position. The broker expects this to underpin dividends of 71.7 cents per share in FY 2021 and then 49.2 cents per share in FY 2022. Based on the latest Super Retail share price of $12.67, this will mean fully franked yields of 5.7% and 3.9%, respectively.

The broker currently has an outperform rating and $14.45 price target on its shares.

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Returns As of 15th February 2021

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Super Retail Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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