If you're building a retirement portfolio, then owning some ASX dividend shares that provide a decent source of passive income is always a good idea.
But which ones could be quality options this month? Let's take a look at three for income investors to consider now:
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APA Group (ASX: APA)
When looking for ASX passive income options, it's always good to find stable businesses with the ability to grow their earnings and dividends.
Well, energy infrastructure company certainly ticks these boxes. Its strong business model has allowed the company to increase its dividend each year for almost 20 years.
The good news is that Macquarie feels confident this trend will continue. It is forecasting dividend increases to 56 cents per share in FY 2024 and 57.5 cents per share in FY 2025. Based on the current APA Group share price of $8.82, this equates to 6.3% and 6.5% dividend yields, respectively.
Macquarie has an outperform rating and $9.40 price target on its shares.
Aurizon Holdings Ltd (ASX: AZJ)
Another ASX passive income stock for investors to consider buying is Aurizon.
It plays a key role in Australia's supply chain. It transports more than 250 million tonnes of Australian commodities, connecting miners, primary producers and industry with international and domestic markets.
Ord Minnett thinks it would be a great option for income investors. Particularly given that a sizeable dividend increase could be on the cards next year.
It is forecasting partially franked dividends of 17.8 cents per share in FY 2024 and then 24.3 cents per share in FY 2025. Based on the latest Aurizon share price of $3.74, this will mean yields of 4.75% and 6.5%, respectively.
Ord Minnett currently has an accumulate rating and $4.70 price target on the company's shares.
Endeavour Group Ltd (ASX: EDV)
As the leading company in alcohol retail, Dan Murphy's owner Endeavour Group could be a great option for passive income from the ASX.
Goldman Sachs certainly believes this is the case. It likes its market leadership position and the defensive nature of the alcohol retail market.
As for income, it is forecasting fully franked dividends of approximately 22 cents per share in both FY 2024 and FY 2025. Based on the current Endeavour share price of $5.21, this will mean dividend yields of 4.2% for both years.
The broker also sees plenty of room for its shares to charge higher from where they trade today, It currently has a buy rating and $6.20 price target on them.
