Despite the Australian share market currently trading within sight of its record high, that doesn't mean there aren't any bargain shares out there for investors.
For example, three Australian shares that could be both cheap and offer big dividend yields are listed below.
Here's what you need to know about these buy-rated shares:
Accent Group Ltd (ASX: AX1)
The first Australian share that could be both cheap and offer big dividend yields is Accent Group. Through brands such as HypeDC, Sneaker Lab, Platypus, Stylerunner, and The Athlete's Foot, it operates over 800 physical stores and multiple online stores.
Bell Potter is a very big fan of the footwear focused retailer. It has a buy rating and a $2.50 price target on its shares. This is notably higher than its current share price of $1.84.
In respect to income, Bell Potter is expecting the company to pay fully franked dividends per share of 13 cents in FY 2024 and then 14.6 cents in FY 2025. Based on its current share price, this represents yields of 7% and 7.7%, respectively.
Healthco Healthcare and Wellness REIT (ASX: HCW)
Another bargain Australian share could be Healthco Healthcare and Wellness REIT. It is a property company with a focus on health and wellness assets.
Bell Potter thinks its shares are dirt cheap at current levels. The broker currently has a buy rating and $1.70 price target on them. This compares to its current share price of $1.17, which is only a fraction above its 52-week low.
The broker also expects some big dividend yields from its shares in the coming years. It is forecasting dividends per share of 8 cents in FY 2024 and then 8.3 cents in FY 2025. This will mean dividend yields of 6.8% and 7.1%, respectively, for investors.
IPH Ltd (ASX: IPH)
A final Australian share that could be a bargain is IPH. It is an intellectual property solutions company with operations across the world.
Goldman Sachs is very positive on the company and sees significant value in its shares at current levels. The broker currently has a buy rating and $8.70 price target on its shares. This compares to its latest share price of $6.07.
As with the others, the broker also expects some big dividend yields from its shares in the near term. It is forecasting fully franked dividends per share of 34 cents in FY 2024 and then 37 cents in FY 2025. This would mean yields of 5.6% and 6.1%, respectively.
