Analysts rate these 2 ASX dividend shares as buys

These dividend shares could be in the buy zone…

If you're currently building an income portfolio, then you might want to look at the shares listed below.

Here's why these ASX dividend shares could be worth considering right now:

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National Australia Bank Ltd (ASX: NAB)

Investors that don't already have exposure to the banking sector might want to consider NAB. It could be a top dividend share due to its improved performance and cost management initiatives.

In respect to the former, during the third quarter NAB revealed an unaudited statutory net profit of $1.65 billion and unaudited cash earnings of $1.70 billion. This was broadly in line with the quarterly average it achieved during the first half of FY 2021 but ahead of expectations.

Positively, this solid form is expected to have continued in the fourth quarter and then be sustained into FY 2022.

It is for this reason that Goldman Sachs has a conviction buy rating and $30.62 price target on the bank's shares. The broker is also forecasting a fully franked $1.40 per share dividend in FY 2022. Based on the current NAB share price of $28.65, this will mean a yield of 4.9%.

Suncorp Group Ltd (ASX: SUN)

Another ASX dividend share to consider is Suncorp. It is one of Australia's leading insurance and banking companies.

As with NAB, it returned to form in FY 2021. Suncorp reported a 42.1% increase in cash earnings to $1,064 million, allowing the company to reward shareholders with a special dividend and a $250 million on-market share buyback.

The team at Credit Suisse are positive on the company's outlook. As a result, last week the broker retained its outperform rating and $13.91 price target on its shares.

The broker is also forecasting a fully franked dividend of 73 cents per share in FY 2022. Based on the current Suncorp share price of $12.49, this will mean a 5.8% yield.

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 has no position in any of the stocks mentioned. 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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