2 cheap ASX dividend shares analysts rate as buys

These top dividend shares could be buys…

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

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

Four investors stand in a line holding cash fanned in their hands with thoughtful looks on their faces.

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Accent Group Ltd (ASX: AX1)

The Accent share price has come under significant pressure this year and dropped to a new 52-week low on Wednesday. Investors have been selling down this dividend share after COVID headwinds weighed heavily on the performance of its Glue, HYPEDC, Pivot, Platypus, Sneaker Lab, and Stylerunner stores during the first half of FY 2022.

While this is disappointing and will inevitably lead to lower earnings and dividends this year from the footwear retailer, analysts expect a swift rebound in FY 2023. This could make the recent share price weakness a buying opportunity for patient investors.

For example, Bell Potter has pencilled in a fully franked dividend of 6 cents per share in FY 2022 and then 11 cents per share in FY 2023. Based on the current Accent share price of $1.85, this will mean yields of 3.2% and 5.9% respectively.

Bell Potter has a buy rating and a $2.75 price target on Accent shares.

Westpac Banking Corp (ASX: WBC)

Another ASX dividend share to consider is banking giant, Westpac. The shares of Australia's oldest bank have also come under pressure in recent months, which leaves them trading far closer to their 52-week lows than their 52-week highs.

This share price weakness has been driven by concerns over the bank's margin outlook and doubts over its cost cutting plans. However, Morgans believes these concerns are unwarranted and that Westpac can overcome its margin issues and deliver on its cost-cutting aspirations. In light of this, it believes the shares have been oversold and are great value now.

Morgans also expects generous dividend yields in the near term. The broker has pencilled in fully franked dividends per share of $1.19 in FY 2022 and then $1.60 in FY 2023. Based on the current Westpac share price of $22.58, this will mean yields of 5.3% and 7.1% respectively.

Morgans has an add rating and a $29.50 price target on the Westpac shares.

Motley Fool contributor James Mickleboro owns Westpac Banking Corporation. 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 recommended Accent Group and Westpac Banking Corporation. 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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