3 reliable ASX dividend shares to beat inflation

Analysts think these dividend shares are top options for investors.

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Although inflation is easing, it is still around 4% on an annual basis.

This means that if you received a 3% dividend yield on your income portfolio, you would actually be losing money in real terms.

The good news is that there are reliable, buy-rated ASX dividend shares out there that offer potential yields that are greater than inflation. In addition, analysts see scope for them to generate decent capital gains for investors.

Here are three ASX dividend shares to consider buying:

Healthco Healthcare and Wellness REIT (ASX: HCW)

Bell Potter thinks that Healthco Healthcare and Wellness REIT could be an ASX dividend share to buy. It is a health and wellness focused real estate investment trust with a focus on hospitals, aged care facilities, and primary care properties.

The broker is expecting the company to pay dividends of 8 cents per share in FY 2024 and 8.3 cents per share in FY 2025. This represents dividend yields of 5.9% and 6.15%, respectively.

Bell Potter has a buy rating and $1.75 price target on its shares.

Suncorp Group Ltd (ASX: SUN)

Insurance giant Suncorp could be a good option for income investors.

Goldman Sachs thinks it is an ASX dividend share to buy and has put a buy rating and $15.00 price target on it.

As for dividends, the broker is forecasting fully franked dividends per share of 75 cents in FY 2024, 82 cents in FY 2025, and 85 cents in FY 2026. This will mean yields of 5.25%, 5.9%, and 5.95%, respectively.

Telstra Group Ltd (ASX: TLS)

Goldman Sachs also thinks that Telstra could be a reliable ASX dividend share to buy. In fact, it highlights that "the low risk earnings (and dividend) growth that Telstra is delivering across FY22-25, underpinned through its mobile business, is attractive."

In respect to dividends, the broker is forecasting fully franked dividends of 18 cents per share in FY 2024, 19 cents per share in FY 2025, and 20 cents per share in FY 2026. This represents yields of 4.5%, 4.75%, and 5%, respectively.

Goldman has a buy rating and $4.65 price target on Telstra's shares.

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 Goldman Sachs Group. The Motley Fool Australia has positions in and has recommended Telstra Group. 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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