While the interest rates on saving accounts are improving as the cash rate rises, they are unlikely to ever be able to compete with the dividend yields on offer with these ASX 200 shares.
Here's what analysts are expecting from these high yield ASX dividend shares:
Mineral Resources Ltd (ASX: MIN)
The first ASX 200 dividend share that has been tipped to provide investors with big dividend yields is Mineral Resources. It is a mining and mining services company with exposure to iron ore and lithium.
The company's lithium operations are likely to be the key to its big dividends in the coming years. This was the case during the first half, with Bell Potter noting that "MIN reported that lithium contributed 80% of group EBITDA."
In response, the broker has put a buy rating and $110.00 price target on its shares.
As for dividends, Bell Potter is expecting fully franked dividends per share of $3.73 in FY 2023 $9.41 in FY 2024, and $9.60 in FY 2025. Based on the current Mineral Resources share price of $87.35, this will mean 4.3%, 10.8%, and 11% dividend yields, respectively.
Westpac Banking Corp (ASX: WBC)
Westpac could be another high yield ASX 200 dividend share to buy according to analysts.
Thanks partly to a combination of rising interest rates and its bold cost cutting plans, the team at Morgans believe the bank has "the greatest potential for return on equity improvement amongst the major banks if its business transformation initiatives prove successful."
In light of this, the broker currently has an add rating and $25.80 price target on its shares.
All in all, its analysts believe this should underpin some big dividends and notes that the "yield including franking is attractive for income-oriented investors."
Morgans is forecasting fully franked dividends per share of 153 cents in FY 2023, 159 cents in FY 2024, and 161 cents in FY 2025. Based on the current Westpac share price of $22.11, this will mean yields of 6.9%, 7.2%, and 7.3%, respectively.
