There are plenty of ASX dividend stocks to choose from on the Australian share market.
But which ones could be buys in January?
Three that have been given the thumbs up by brokers are listed below. Here's what they are expecting from them:
Baby Bunting Group Ltd (ASX: BBN)
This leading baby products retailer could be an ASX dividend stock to buy according to Morgans.
After a tough couple of years, the broker believes that the company is over the worst of its issues now and a return to growth is coming.
As a result, it is now forecasting fully franked dividends per share of 9.5 cents in FY 2024 and then 12.4 cents in FY 2024. Based on the current Baby Bunting share price of $1.89, this will mean dividend yields of 5% and 6.5%, respectively.
Morgans has an add rating and a $2.50 price target on its shares.
Orora Ltd (ASX: ORA)
Goldman Sachs believes that income investors should be buying this packaging company's shares.
It likes that Orora's base business has defensive qualities and is positive on growth capital investments that are underway in the Australasian business.
The broker expects this to underpin 13 cents per share dividends for FY 2024, FY 2025, and FY 2026. Based on the current Orora share price of $2.60, this will mean 5% yields for each year.
Goldman has a buy rating and a $3.55 price target on its shares.
Universal Store Holdings Ltd (ASX: UNI)
Morgans also thinks that this youth fashion retailer is a top ASX dividend stock to buy right now.
The broker believes that Universal Store has very positive medium-term growth prospects and its shares are undervalued based on this.
In addition, Morgans expects some very attractive dividend yields from the retailer's shares in the near term. It has pencilled in fully franked dividends per share of 26 cents in FY 2024 and 29 cents in FY 2025. Based on the current Universal Store of $4.20, this will mean yields of 6.2% and 7.1%, respectively.
Morgans has an add rating and a $4.55 price target on its shares.
