If you have room in your portfolio for some ASX 200 dividend shares, then it could be worth checking out the two named below.
They have been rated as buys and tipped to provide attractive yields. Here's what you need to know:
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Coles Group Ltd (ASX: COL)
The first ASX 200 dividend share that analysts have named as a buy is Coles.
It is of course one of the big two supermarket operators. At the last count, it had over 800 supermarkets and also over 900 liquor stores.
The company is also working hard to automate its operations through its agreement with Ocado (LSE: OCDO). This is expected to be a big boost to its margins in the coming years.
Citi thinks that its shares are good value at present. The broker has a buy rating and a $17.50 price target on them.
As for dividends, it is forecasting fully franked dividends per share of 64 cents in FY 2024 and 70 cents in FY 2025. Based on the current Coles share price of $15.72, this implies yields of 4.1% and 4.45%, respectively.
Deterra Royalties Ltd (ASX: DRR)
Another ASX 200 dividend share that could be a buy for income investors is Deterra Royalties.
It is focused on the management and growth of a portfolio of royalty assets across a range of commodities, primarily bulks, base and battery metals.
Deterra's existing portfolio includes royalties held over Mining Area C, its cornerstone asset, in the Pilbara region of Western Australia, as well as five smaller royalties including Yoongarillup/Yalyalup, Wonnerup, Eneabba and St Ives.
Morgan Stanley is feeling very positive about the company. It has an overweight rating and a $5.65 price target on its shares.
As for income, the broker is expecting fully franked dividends per share of 40.3 cents in FY 2024 and 30.1 cents in FY 2025. Based on the current Deterra Royalties share price of $4.97, this will mean yields of 8.1% and 6%, respectively.
