Analysts name 2 ASX dividend shares with big fully franked yields to buy

Analysts are forecasting big yields from these dividend shares…

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Are you looking for dividend shares to buy next week? If you are, then you may want to look at the two listed below.

Here’s why these ASX dividend shares could be in the buy zone:

Australia and New Zealand Banking GrpLtd (ASX: ANZ)

The first dividend share to look at is this banking giant. It recently released its full year results and reported a 72% jump in statutory profit after tax to $6,162 million and a 65% increase in cash earnings from continuing operations to $6,198 million.

This result was underpinned by a significant reduction in provisions compared to the prior corresponding period, tightly managed expenses, and profit growth in the Australian Retail and Commercial segments.

And while this level of growth is clearly not sustainable, analysts at Morgans are still expecting solid dividend growth in the coming years.

The broker is forecasting a 147 cents per share dividend in FY 2022 and a 164 cents per share dividend in FY 2023. Based on the current ANZ share price of $28.26, this will mean yields of 5.2% and 5.8%, respectively, for investors.

Morgans has an add rating and $31.00 price target on the bank’s shares.

BHP Group Ltd (ASX: BHP)

Another ASX dividend share to look at is this mining giant.

The well-documented weakness in iron ore prices has been weighing heavily on BHP’s shares in recent months. While this is disappointing for shareholders, it could be a buying opportunity for the rest of us. Particularly given strong prices of many other commodities that BHP mines.

Macquarie remains very bullish on BHP despite the iron ore price weakness. In fact, last week the broker retained its outperform rating and $52.00 price target on the Big Australian’s shares.

It still believes BHP’s shares are trading on a 19% free cash flow yield at current levels despite the iron ore price pullback. Macquarie expects this to underpin fully franked dividends of $3.76 per share in FY 2022 and $2.81 per share in FY 2023. Based on the current BHP share price of $37.70, this will mean yields of 10% and 7.5%, respectively.

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*Returns as of January 12th 2022

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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