Income investors need to check out these ASX dividend stocks

Here are the yields that income investors could get from these buy-rated dividend stocks according to brokers.

| More on:
a hand reaches out with australian banknotes of various denominations fanned out.

Image source: Getty Images

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

The share market is a great place to generate a source of income. That's because there are countless ASX shares that reward their shareholders with dividends every six months (and sometimes even more frequently).

In addition, as a company grows, often its dividend will grow along with it. This can lead to a growing stream of income without you having to lift a finger.

But which ASX dividend stocks could be top options right now? Brokers say the following shares are buys:

Accent Group Ltd (ASX: AX1)

The first ASX dividend stock that could be a good option for income investors is Accent. It is a footwear-focused retailer with a range of brands that resonate with younger consumers. These include HYPEDC, Platypus, Sneaker Lab, Stylerunner, and The Athlete's Foot.

In respect to income, Bell Potter is expecting Accent to pay fully franked dividends per share of 16.1 cents in FY 2023 and then 11.9 cents in FY 2024. Based on the latest Accent share price of $1.94, this suggests dividend yields of 8.3% and 5.9%, respectively.

Bell Potter also sees plenty of upside for its shares with its buy rating and a $2.50 price target.

Lottery Corporation Ltd (ASX: TLC)

Another ASX dividend stock for income investors to consider adding to their portfolio is Lottery Corporation.

It is the company responsible for games including Powerball, Oz Lotto, and Keno.

Citi likes the company due to its defensive qualities and recent price increases. It expects this to underpin a 15 cents per share dividend in FY 2023 and an 18 cents per share dividend in FY 2024. Based on its current share price of $5.30, this will mean fully franked yields of 2.8% and 3.4%, respectively.

Its analysts have a buy rating and a $5.70 price target on the company's shares.

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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 positions in and has recommended Lottery. The Motley Fool Australia has recommended Accent Group. 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

A mature-aged couple high-five each other as they celebrate a financial win and early retirement
Dividend Investing

How to retire early with these ASX titans

There are so many mouth-watering dividend stocks in Australia, those who want to quit work have options.

Read more »

A woman in a bright yellow jumper looks happily at her yellow piggy bank representing bank dividends and in particular the CBA dividend
Bank Shares

If I invest $10,000 in CBA shares, how much passive income will I receive in 2024?

Is this banking option a good option for income investors?

Read more »

Young businesswoman sitting in kitchen and working on laptop.
Dividend Investing

3 ASX 200 income shares to buy now

Brokers are expecting some great yields from these income options.

Read more »

A woman in a hammock on her laptop and drinking a smoothie
How to invest

How can I invest for passive income?

I think ASX shares are the best path to a second income.

Read more »

Three generations of male family members enjoy the company as they plan future financial goals together on a trek outdoors.
Dividend Investing

A $5 ASX dividend stock to buy now for 'very attractive' passive income

There are a number of high-quality ASX dividend shares to tap for passive income, but not many trade for only…

Read more »

Smiling woman with her head and arm on a desk holding $100 notes out, symbolising dividends.
Dividend Investing

Analysts expect big yields from these ASX dividend stocks

Big yields could be coming for owners of these shares.

Read more »

Hand holding Australian dollar (AUD) bills, symbolising ex dividend day. Passive income.
Dividend Investing

Get a second income from these ASX 200 dividend shares

These big name dividend shares could be quality options according to analysts.

Read more »

A woman has a thoughtful look on her face as she studies a fan of Australian 20 dollar bills she is holding on one hand while he rest her other hand on her chin in thought.
Dividend Investing

Should I buy Woodside shares for the 12% dividend yield?

Is a near-12% yield too good to be true?

Read more »