Goldman Sachs names 3 super-strong ASX 200 dividend shares to buy

The broker is feeling bullish about these blue-chip options.

| More on:
A male sharemarket analyst sits at his desk looking intently at his laptop with two other monitors next to him showing stock price movements

Image source: Getty Images

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

Are you looking for ASX 200 dividend shares to buy? If you are, it could be worth checking out the high-quality options listed below.

They have all recently been named as buys by analysts at Goldman Sachs. Here's what you need to know about them:

Endeavour Group Ltd (ASX: EDV)

The first ASX 200 dividend share that analysts at Goldman Sachs are bullish on is Endeavour Group. It is the drinks giant behind the BWS and Dan Murphy's brands.

Goldman feels its valuation is attractive. Especially given its "clear market leading position." The broker has a buy rating and a $6.20 price target on the company's shares.

As for income, the broker is forecasting fully franked dividends of approximately 22 cents per share in FY 2024 and FY 2025. Based on the current Endeavour share price of $5.28, this will mean dividend yields of 4.2% for both years.

Telstra Corporation Ltd (ASX: TLS)

Goldman Sachs also thinks that telco giant Telstra could be an ASX 200 dividend share to buy right now.

It believes "the low risk earnings (and dividend) growth that Telstra is delivering across FY22-25, underpinned through its mobile business, is attractive." In addition, it sees a "medium term opportunity to crystallise value through commencing the process to monetize its InfraCo Fixed assets."

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

In respect to dividends, the broker is forecasting fully franked dividends of 18 cents per share in FY 2024 and 19 cents per share in FY 2025. Based on the current Telstra share price of $3.80, this equates to yields of 4.7% and 5%, respectively.

Woolworths Limited (ASX: WOW)

Finally, Goldman thinks that Woolworths could be an ASX 200 dividend share to buy. It is the retail giant behind the Woolworths supermarkets and Big W brands, among others.

Goldman remains very positive on the company. This is due to its belief that "the business has among the highest consumer stickiness and loyalty among peers, and hence has strong ability to drive market share gains via its omni-channel advantage."

The broker currently has a conviction buy rating and a $40.40 price target on Woolworths shares.

In respect to dividends, Goldman is forecasting fully franked dividends per share of $1.09 in FY 2024 and $1.17 in FY 2025. Based on the current Woolworths share price of $32.59, this will mean yields of 3.3% and 3.6%, respectively.

Motley Fool contributor James Mickleboro has positions in Endeavour Group. 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.

More on Dividend Investing

Woman calculating dividends on calculator and working on a laptop.
Dividend Investing

What's the dividend yield of NAB shares right now?

What’s the size of NAB’s payout?

Read more »

Older couple enjoying the backyard
Dividend Investing

3 ASX 200 dividend stocks for investors to buy

Analysts are expecting these stocks to provide great yields. But how great?

Read more »

Smiling couple looking at a phone at a bargain opportunity.
Dividend Investing

2 cheap ASX dividend shares I'd buy for income

I think these two stocks can provide excellent dividends.

Read more »

Dividend Investing

Forget term deposits and buy these ASX dividend shares

These dividend shares have been tipped by analysts to provide investors with yields that are superior to term deposits.

Read more »

A woman in hammock with headphones on enjoying life which symbolises passive income.
Dividend Investing

Buy 300 shares in this glorious ASX 200 dividend stock and create almost $2,000 in passive income

Atop the juicy passive income, I like this ASX dividend beauty for its potential share price gains.

Read more »

A pilot stands in an empty passenger cabin smiling with his arms crossed looking excited
Dividend Investing

Here's the Qantas dividend forecast through to 2026

Will the Flying Kangaroo bring back its dividend soon?

Read more »

Smiling young parents with their daughter dream of success.
Dividend Investing

Top ASX dividend shares to buy in May 2024

Who could use a little extra cash right now?

Read more »

Smiling elderly couple looking at their superannuation account, symbolising retirement.
Dividend Investing

Looking to retire? Buy these ASX dividend shares for passive income

Analysts think these income stocks are in the buy zone right now.

Read more »