Are you looking for dividend shares to buy for passive income? If you are, then it could be a good idea to check out the two listed below that analysts at Morgans rate highly.
Here's what the broker is saying about them:
Dexus Industria REIT (ASX: DXI)
The first ASX dividend share that has been named as a buy is Dexus Industria.
Morgans is a big fan of this industrial and office property company and has it on its best ideas list. This is because the broker believes that Dexus Industria is well-placed for growth thanks to strong demand in the industrial market. It commented:
DXI's portfolio is valued at $1.6bn across 93 properties and is weighted 89% towards industrial and logistics assets. The weighted average cap rate is around 5.1%; WALE +6 years; and occupancy 97.4%. DXI is trading at a discount to NTA, offers an attractive yield with solid underlying portfolio metrics and has near/medium term growth opportunities via the development pipeline as well as rental growth via its industrial portfolio.
As for dividends, the broker is forecasting dividends per share of 16.5 cents in FY 2023 and 16.8 cents in FY 2024. Based on the current Dexus Industria share price of $2.86, this will mean yields of 5.75% and 5.9%, respectively.
Morgans currently has an add rating and $3.37 price target on the company's shares.
Mineral Resources Ltd (ASX: MIN)
Another ASX 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.
Morgans is a fan of the company and believes it is well-placed for growth in the coming years. So much so, the broker also has Mineral Resources on its best ideas list. It explains:
MIN is a founder-led business and top tier miner and crusher that has grown consistently despite barely issuing a share over the last decade. Also helping our investment view is that MIN's diversification leaves it far more capable of tolerating volatility in lithium markets than its peers in the sector. We see MIN's lithium / iron ore market exposures as an ideal combination to benefit from the China re-opening increase in demand during 1H'CY23. We also see MIN as well placed to grow into its valuation, even if we see unexpected metal price volatility, given the magnitude of organic growth in the pipeline.
In respect to dividends, Morgans is expecting fully franked dividends per share of $2.72 in FY 2023 and $5.79 in FY 2024. Based on the current Mineral Resources share price of $76.02, this will mean 3.6% and 7.6% dividend yields, respectively.
Morgans an add rating and $103.00 price target on its shares.
