The good news for income investors is that there are plenty of dividend stocks to choose from on the ASX.
But if you're struggling to decide which ones to buy over others, don't worry. That's because listed below are a couple of ASX dividend stocks that come highly recommended by experts. Here's why they are tipping them as buys:
Charter Hall Retail REIT (ASX: CQR)
The first ASX dividend stocks that could be a buy is the Charter Hall Retail REIT. It invests in high quality Australian supermarket anchored convenience and convenience-plus shopping centres.
The team Citi is positive on the company and has a buy rating and $4.50 price target on its shares.
The broker likes the Charter Hall Retail REIT due to its "defensive net property income growth despite rising interest rate profile." It also expects the company to be able to pass through higher inflation to tenants.
All in all, Citi is expecting this to allow the company to pay dividends of 26 cents per share in both FY 2023 and FY 2024. Based on the current Charter Hall Retail share price of $3.74, this will mean 6.95% dividend yields for investors.
Premier Investments Limited (ASX: PMV)
Another ASX dividend stock that has been named as a buy is Premier Investments. It is the retail group behind popular brands including Peter Alexander and Smiggle.
Macquarie is very positive on the company and has an outperform rating and $30.50 price target on its shares.
The broker was pleased with Premier Investments' recent recent half-year results, noting that they came in ahead of expectations. Overall, it feels the result supports its analysts' preference for the stock over other Australian retailers.
Looking ahead, the broker is forecasting fully franked dividends per share of $1.24 in FY 2023 and then 97 cents in FY 2024. Based on the latest Premier Investments share price of $24.60, this will mean yields of 5% and 3.95%, respectively, for income investors.
