Buy these ASX dividend stocks for passive income

Analysts expect attractive dividend yields from these shares.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

If you're looking for a passive income boost, then it could be worth checking out the ASX dividend stocks listed below.

All four have recently been named as buys and tipped to provide investors with attractive dividend yields in the near term.

Here's what you need to know about these income options:

Middle age caucasian man smiling confident drinking coffee at home.

Image source: Getty Images

ANZ Group Holdings Ltd (ASX: ANZ)

Ord Minnett thinks that ANZ Bank could be an ASX dividend stock to buy if you don't already have meaningful exposure to the banking sector. The broker has a buy rating and a $31.00 price target on ANZ Bank's shares.

As for dividends, Ord Minnett is forecasting dividends per share of $1.62 in FY 2024 and $1.65 per share in FY 2025. Based on the current ANZ share price of $28.96, this will mean dividend yields of 5.6% and 5.7%, respectively.

Coles Group Ltd (ASX: COL)

Over at Morgans, its analysts think that income investors should buy this supermarket giant's shares. The broker currently has an add rating and an $18.70 price target on its shares.

In respect to income, it is expecting Coles to pay fully franked dividends of 66 cents per share in FY 2024 and 69 cents per share in FY 2025. Based on the current Coles share price of $16.34, this implies yields of approximately 4% and 4.2%, respectively.

Dexus Convenience Retail REIT (ASX: DXC)

Another ASX dividend stock that could be a buy is Dexus Convenience Retail REIT. It owns a portfolio of service station and convenience retail assets located across Australia and concentrated on the eastern seaboard.

Morgans is positive on the company and recently put an add rating and $3.23 price target on its shares.

As for dividends, the broker is expecting its shares to provide income investors with some very big yields in the coming years. It has pencilled in dividends per share of 21 cents in both FY 2024 and FY 2025. Based on its current share price of $2.71, this implies a yield of 7.7%.

Transurban Group (ASX: TCL)

Finally, the team at Citi believes that Transurban could be a top ASX dividend stock to buy right now. The broker has a buy rating and a $15.60 price target on the leading toll road developer and operator's shares.

As for income, its analysts are expecting dividends per share of 63 cents in FY 2024 and 65 cents in FY 2025. Based on the current Transurban share price of $13.38, this will mean yields of 4.7% and 4.85%, respectively.

Citigroup is an advertising partner of The Ascent, a Motley Fool company. 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 Transurban Group. The Motley Fool Australia has positions in and has recommended Coles Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

3 cheap ASX dividend shares offering 5% to 6% yields (and major upside)

Brokers are tipping these shares as buys for income investors.

Read more »

A woman standing in a blue shirt smiles as she uses her mobile phone.
Dividend Investing

The ASX shares I'd buy for passive income in April and beyond

I think passive income is not just about yield. It is about building a reliable stream of dividends over time.

Read more »

Two people climb to the summit and raise their arms in success as the sun rises brightly over the mountains.
Dividend Investing

2 ASX dividend shares yielding 7% or more

If you're looking for dividend shares which pay around 7%, these are two of my picks.

Read more »

Australian dollar notes in the pocket of a man's jeans, symbolising dividends.
Broker Notes

Why this quality ASX dividend share is tipped to surge 55%

A leading broker expects this ASX stock could rocket 55% atop paying two annual dividends.

Read more »

Happy dad watching tv with kids, symbolising passive income.
Dividend Investing

3 ASX dividend shares I'd buy for reliable passive income

I think building income from ASX shares starts with choosing the right types of businesses.

Read more »

A mature aged man with grey hair and glasses holds a fan of Australian hundred dollar bills up against his mouth and looks skywards with his eyes as though he is thinking what he might do with the cash.
Dividend Investing

Is this one of the best ASX passive income stocks to buy right now?

This business is paying a great level of income…

Read more »

Hand of a woman carrying a bag of money, representing the concept of saving money or earning dividends.
Dividend Investing

1 ASX dividend stock down 43% I'd buy right now

This business is a leading idea for passive income!

Read more »

Australian notes and coins symbolising dividends.
Dividend Investing

$1,000 buys 100 shares in an incredibly reliable ASX 200 dividend stock

This business has been very resilient and still looks like a great buy.

Read more »