If you're looking for dividends shares to buy, then you may want to check out the two listed below.
Both have been rated as buys and tipped to provide investors with attractive yields in the coming years. Here's what you need to know:
Elders Ltd (ASX: ELD)
The first dividend share to look at is Elders. It is an agribusiness company that provides a range of services to rural and regional customers across the Australia/New Zealand region.
After a very difficult period during the 2010s, Elders has returned to form in the 2020s following a highly successful transformation plan and the acquisition of Australian Independent Rural Retailers.
Goldman Sachs is very positive on the company and believes it is on track to deliver earnings before interest and tax (EBIT) growth of 27% in FY 2022. In light of this and its positive growth outlook, it has a conviction buy rating and a $17.65 price target on Elders shares.
As for dividends, the broker expects dividends per share of 45 cents in FY 2022, 47 cents in FY 2023, and 53 cents in FY 2024. Based on the current Elders share price of $13.92, this implies yields of 3.2%, 3.4%, and 3.8%, respectively.
Westpac Banking Corp (ASX: WBC)
Another ASX dividend share that could be worth considering is Westpac. It could be a top option right now thanks to its improving performance and positive outlook.
For example, earlier this month, the bank released its half-year results and revealed cash earnings of almost $3.1 billion and an interim fully franked dividend of 61 cents per share. Both were ahead of the market's expectations.
But arguably the biggest positive was news that Westpac continues to target a cost base of $8 billion in FY 2024. This will be down from $13.3 billion in FY 2021 or $11 billion excluding $2.3 billion of one-offs. If Westpac delivers on this target, it should be supportive of earnings and dividend growth in the coming years.
Analysts at Citi are bullish and are forecasting fully franked dividends of $1.23 per share in FY2022, $1.55 per share in FY 2023, and $1.80 per share in FY2024. Based on the current Westpac share price, this will mean yields of 5.1%, 6.4%, and 7.5%.
Citi has a buy rating and $29.00 price target on the bank's shares.
