Buy these growing ASX 200 dividend shares in 2023: experts

Here are two dividend shares that could give your passive income a boost…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

If you're looking for dividend shares to buy for 2023 to boost your passive income, then you may want to look at the two listed below.

Here's why analysts rate these growing ASX 200 dividend shares highly:

A man with a wry smile on his face is shown close up behind ascending piles of coins as he places another coin on top of the tallest stack representing rising dividends

Image source: Getty Images

Santos Ltd (ASX: STO)

The first ASX 200 dividend share that could be a buy is Santos.

It is one of the region's largest energy producers, aiming to deliver production of 103-106 million barrels of oil equivalent (mmboe) in FY 2022.

The team at Morgans is positive on the company due to its "growth profile and diversified earnings base." The broker believes this leaves it "well placed to outperform against a backdrop of a broader sector recovery."

Morgans is expecting this to underpin dividends per share of 23 cents in FY 2022 and 24.4 cents in FY 2023. Based on the current Santos share price of $6.99, this will mean yields of 3.3% and 3.5%, respectively.

Morgans has an add rating and $9.00 price target on its shares, which suggests material upside potential in 2023.

Woolworths Limited (ASX: WOW)

Another ASX 200 dividend share that could be a buy is Woolworths.

Goldman Sachs is a very big fan of the retail giant. It likes the company due to its strong market position and digital leadership. The broker expects the latter to support further market share and margin gains in the coming years, which bodes well for its earnings and dividend growth.

In the meantime, it is forecasting fully franked dividends of $1.02 per share in FY 2023 and $1.13 per share in FY 2024. Based on the current Woolworths share price of $33.21, this will mean yields of 3.1% and 3.4%, respectively.

Goldman currently has a conviction buy rating and $41.70 price target on the company's shares.

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 Scott Phillips.

More on Dividend Investing

Stacks of coins in a row with each higher than the last, and a person standing on top of each one watching them grow.
Dividend Investing

How I'd invest $2,000 in high-yield ASX 300 shares

I rate these businesses as strong buys for the long-term.

Read more »

Australian dollar notes in the pocket of a man's jeans, symbolising dividends.
Dividend Investing

3 high-yield ASX dividend shares paying 9% (or more)

These ASX dividend shares pay a consistent dividend payment to shareholders, and at a high rate.

Read more »

Woman holding $50 notes with a delighted face.
Dividend Investing

3 ASX dividend stocks with 4% yields to buy for a winning income portfolio

There are still income stocks out there with hefty yields...

Read more »

Two woman shopping and pointing at a bargain opportunity.
Dividend Investing

Are Wesfarmers shares a good buy for passive income?

After falling more than 10% this year, are Wesfarmers shares still a good pick for passive income?

Read more »

View of a business man's hand passing a $100 note to another with a bank in the background.
Bank Shares

New ANZ dividend: Here's everything you need to know

ANZ's new dividend has just been revealed.

Read more »

A man points at a paper as he holds an alarm clock, indicating the ex-dividend date is approaching.
Dividend Investing

16 ASX shares going ex-dividend in May

Newmont is among the ASX shares to go ex-dividend this month.

Read more »

Man holding fifty Australian Dollar banknotes in his hands, symbolising dividends.
Dividend Investing

3 star ASX dividend income stocks for the rest of 2026

I rate these businesses as strong income buys.

Read more »

Children skipping and jumping up a hill.
Dividend Investing

Want passive income? These ASX dividend shares offer 5%+ yields

These companies grow their payouts over time.

Read more »