If you're looking for dividend shares to buy, then the two listed below could be worth checking out.
Both have been named as buys by brokers and tipped to provide big yields. Here's what you need to know about them:
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Accent Group Ltd (ASX: AX1)
The first ASX dividend share that has been tipped as a buy is footwear retailer Accent.
The team at Morgans is positive on the company and has an add rating and $2.00 price target on its shares. The broker likes Accent due to its attractive valuation and belief that the company is well-placed to bounce back from a very difficult time in FY 2022.
Its analysts said:
AX1's renewed focus on selling at full price will, in our view, support a recovery in the gross profit margin in FY23 back towards historical averages. We welcome AX1's moderation of the pace of its store rollout in favour of a more selective expansion strategy focused on return on investment. We see AX1 as undervalued at the current share price.
As for dividends, Morgans is forecasting fully franked dividends of 9 cents per share in FY 2023 and 11 cents per share in FY 2024. Based on the current Accent share price of $1.48, this will mean yields of 6.1% and 7.4%, respectively.
Healthco Healthcare and Wellness REIT (ASX: HCW)
Another ASX dividend share that has been tipped as a buy is this health and wellness focused real estate investment trust.
Analysts at Goldman Sachs are very positive on the company and have a conviction buy rating and $2.14 price target on its shares. Goldman likes Healthco Healthcare and Wellness due to its strong balance sheet and its exposure to government-backed sub-sectors.
The broker said:
[T]he REIT remains one of our top picks in the sector given 1) its net cash position with over $450mn of liquidity, providing flexibility for near term opportunities, 2) its diversified mix of strong tenant covenants in sub-sectors that are majority government-backed across the care spectrum, mitigating potential tenant credit risks, 3) Healthcare and childcare assets valuations have remained resilient, 4) the expansive forecast future demand for assets across the care spectrum, underpinning development opportunities, and 5) inexpensive valuation.
In respect to dividends, Goldman expects dividends per share of 7.5 cents in both FY 2023 and FY 2024. Based on the current Healthco Healthcare and Wellness REIT unit price of $1.41, this will mean yields of 5.3% for investors.
