Morgans says these ASX dividend shares are buys this month

The broker has good things to say about these income options.

If you're on the lookout for ASX dividend shares to buy in February, then read on!

That's because listed below are two top options that Morgans is feeling bullish on.

Here's what the broker is saying about them:

an older couple look happy as they sit at a laptop computer in their home.

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Healthco Healthcare and Wellness REIT (ASX: HCW)

The first ASX dividend share that Morgans is positive on is the Healthco Healthcare and Wellness REIT.

This real estate investment trust has a focus on hospitals, aged care, childcare, government, life sciences and research, and primary care and wellness properties.

This is a nice spot to be in as these properties are relatively defensive and usually in demand whatever is happening in the economy.

Morgans believes the company is well-placed to pay big dividends in the coming years. It is forecasting dividends per share of 8 cents in both FY 2024 and FY 2025. Based on the current Healthco Healthcare and Wellness REIT unit price of $1.35, this will mean dividend yields of 5.9%.

Morgans has an add rating and $1.67 price target on them.

Universal Store Holdings Ltd (ASX: UNI)

Morgans also thinks that this youth fashion retailer could be an ASX dividend share to buy.

It likes the Universal Store, Perfect Stranger, and Thrills owner due to its positive growth outlook. In addition, its analysts think the company's shares are "undervalued at a single digit FY25 P/E."

Another positive is that Morgans is forecasting some big fully franked dividends. It had pencilled in dividends per share of 26 cents in FY 2024 and 29 cents in FY 2025. Based on the current Universal Store share price of $4.16, this will mean yields of 6.25% and 7%, respectively.

Morgans has an add rating and $4.55 price target on its shares.

Motley Fool contributor James Mickleboro has positions in Universal Store. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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