If you’re looking for dividend shares to buy then you may want to look at the two below that brokers are recommending.
Here’s what brokers are saying about these ASX dividend shares:
National Australia Bank Ltd (ASX: NAB)
The first ASX dividend share to look at is banking giant NAB. It could be a top option for investors after recent weakness in the sector.
Particularly given its strong position in business banking, which is expected to perform far better than retail banking in the current environment. It is for this reason that analysts at Goldman Sachs currently have a conviction buy rating and $34.26 price target on its shares.
Its analysts said: “NAB’s balance sheet mix provides the best exposure to the domestic system growth we foresee over the next 12-18 months, which should favour commercial over mortgage lending.”
As for dividends, the broker has pencilled in fully franked dividends per share of 151 cents in FY 2022 and then 168 cents in FY 2023. Based on the current NAB share price of $27.02, this equates to yields of 5.6% and 6.2%, respectively.
Transurban Group (ASX: TCL)
Another ASX dividend share to consider is toll road operator Transurban.
Morgans is positive on Transurban and currently has an add rating and $14.42 price target on its shares. Its analysts are expecting the company’s dividends to recover quickly from the pandemic as traffic returns to its key roads.
It commented: “Watch for rapid recovery in DPS alongside traffic recovery and WestConnex acquisition prospects.”
For now, Morgans is forecasting dividends per share of 37 cents in FY 2022 and then 60 cents in FY 2023. Based on the current Transurban share price, this implies yields of 2.6% and 4.3%, respectively.