Do you want a passive income boost? If you do, then the ASX dividend shares listed below could be the way to do it.
Here's why these could be passive income shares to buy now:
Transurban Group (ASX: TCL)
The first ASX share that could provide investors with a passive income boost is Transurban.
The team at Citi are positive on the toll road operator and believe it could be a great option in the current environment due to its positive exposure to inflation. It commented:
With concerns around inflation being more sticky and higher for longer, we believe investors are likely to remain attracted to companies providing protection to rising inflation. We see TCL as being particularly attractive given ~70% of toll revenue is linked to inflation, downside protection to traffic even if we enter a recessionary period (given exposure to urban roads), and inorganic upside from the current and future development pipeline.
As for dividends, the broker is forecasting dividends per share of 58 cents in FY 2023 and then 60 cents in FY 2024. Based on the current Transurban share price of $14.12, this will mean yields of 4.1% and 4.25%, respectively.
Citi has a buy rating and $16.00 price target on its shares.
Universal Store Holdings Ltd (ASX: UNI)
Another ASX dividend share that has been tipped as a buy is Universal Store.
Goldman Sachs believes the growing youth fashion retailer could be a great option. This is due to the company's exposure to younger consumers, which it expects to continue spending thanks to minimum wage increases and their lower exposure to rising interest rates. It explained:
We believe the young Australian consumer is uniquely resilient to inflationary and broader economic pressures given (1) a high proportion live at home; (2) more than two-thirds are working; (3) high and increasing minimum wage entitlements and; (4) a heavy skew towards discretionary spending.
In respect to dividends, the broker is forecasting fully franked dividends of 27 cents in FY 2023 and 34 cents in FY 2024. Based on the latest Universal Store share price of $4.95, this equates to yields of 5.45% and 6.9%, respectively.
Goldman Sachs currently has a buy rating and $8.05 price target on its shares.
