There are a good number of income options to choose from on the Australian share market.
So much so, it can be hard to decide which ASX 200 income shares to buy.
To narrow things down, I have picked out three shares that have been named as buys. Here's what you need to know about them:
ANZ Group Holdings Ltd (ASX: ANZ)
The first ASX 200 income share that could be a buy is big four bank ANZ.
The team at Goldman Sachs is very positive on the bank. It notes that its recent "result provided further evidence of the improving profitability of its Institutional business."
The broker has a buy rating and a $27.25 price target on its shares.
As for dividends, it is forecasting fully franked dividends per share of $1.62 in both FY 2024 and FY 2025. Based on the current ANZ share price of $25.18, this will mean dividend yields of 6.6%.
Aurizon Holdings Ltd (ASX: AZJ)
Another ASX 200 income share that could be a buy is Aurizon.
Macquarie thinks the national rail and road network operator is a buy. It has an outperform rating and a $4.04 price target on its shares.
In respect to income, the broker is forecasting partially franked dividends of 19.1 cents per share in FY 2024 and then 24.5 cents per share in FY 2025. Based on the latest Aurizon share price of $3.62, this will mean yields of 5.3% and 6.75%, respectively.
QBE Insurance Group Ltd (ASX: QBE)
A third ASX 200 income share that could be a buy is insurance giant QBE.
Goldman Sachs is also a fan of the company and has a buy rating and an $18.34 price target on its shares.
In respect to dividends, the broker is forecasting payouts of 60 US cents per share in FY 2024 and 62 US cents per share in FY 2025. Based on the current QBE share price of $14.58, this will mean yields of 6.2%, and 6.4%, respectively.
