Morgans says these high-yield ASX dividend stocks are buys

The broker is tipping some big yields from these buy-rated stocks.

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There are a lot of options for income investors on the Australian share market.

Two high-yield ASX dividend stocks that analysts at Morgans think investors should be buying are listed below.

Here's what the broker is saying about them:

Baby Bunting Group Ltd (ASX: BBN)

Morgans thinks that this baby products retailer could be an ASX dividend stock to buy.

The broker currently has an add rating and $2.00 price target on its shares.

Although it has been disappointed with the company's recent performance, Morgans believes that management's strategy will turn things around and drive growth.

In the meantime, the broker is still forecasting some attractive dividend yields. It expects fully franked dividends per share of 9.5 cents in FY 2024 and then 12.4 cents in FY 2025. Based on the current Baby Bunting share price of $1.80, this will mean yields of 5.3% and 6.9%, respectively.

Morgans has an add rating and $2.00 price target on the company's shares.

HomeCo Daily Needs REIT (ASX: HDN)

Morgans also believes that HomeCo Daily Needs could be an ASX dividend stock to buy.

It is a property company with a focus on neighbourhood retail, large format retail, and health and services. HomeCo Daily Needs has a high quality tenant base with over 80% either ASX-listed and/or national retailers.

The broker currently has an add rating and $1.37 price target on its shares.

And much like Baby Bunting, Morgans expects some above-average yields from the company in the near term. It is forecasting dividends per share of 8.3 cents in FY 2024 and then 8.5 cents in FY 2025. Based on the current HomeCo Daily Needs share price of $1.27, this will mean yields of 6.5% and 6.7%, respectively.

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended HomeCo Daily Needs REIT. 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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