Do you have room for some new additions to your income portfolio in June?
If you do, then it could be worth checking out the highly rated ASX dividend stocks listed below that analysts rate as buys. Here's what you need to know about them:
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Dexus Industria REIT (ASX: DXI)
The first ASX dividend stock that could be a top buy in June is Dexus Industria. It is a real estate investment trust with a portfolio of high-quality industrial warehouses located in capital cities such as Sydney, Melbourne, and Adelaide.
Morgans currently has the company on its best ideas list with an add rating and a $3.18 price target. It commented:
The portfolio is valued at $1.6bn across +90 properties with 89% of the portfolio weighted towards industrial assets (WACR 5.38%). The portfolio's WALE is around 6 years and occupancy 97.5%. Across the portfolio 50% of leases are linked to CPI with the balance on fixed increases between 3-3.5%. While we expect cap rates to expand further in the near term, DXI's industrial portfolio remains robust with the outlook positive for rental growth. The development pipeline also provides near and medium-term upside potential and post asset sales there is balance sheet capacity to execute.
As for income, Morgans expects the company to pay dividends per share of 16.4 cents in FY 2024 and then 16.6 cents in FY 2025. Based on the current Dexus Industria share price of $2.93, this will mean dividend yields of 5.6% and 5.65%, respectively.
Rural Funds Group (ASX: RFF)
Another ASX dividend stock that is highly rated is Rural Funds. It is an agricultural REIT with a diversified farmland portfolio across five core sectors. Its properties, which are focused on almond orchards, vineyards, cattle, cotton and macadamias, are predominantly leased to corporate agricultural operators on long leases.
Bell Potter thinks income investors should be buying the company's shares and has named it on its Australian equities panel this month with a buy rating and $2.40 price target. It commented:
RFF trades at a historical high discount to its market NAV per unit ($2.78 pu) at ~28%. While we are in general seeing large discounts to NAV in ASX listed farming and water assets to market NAV, the discount that RFF is trading appears excessive and we are seeing a value opportunity in RFF. While the timing of that value discount closing is difficult to call, investors are likely to be rewarded with a ~6% yield to hold the position until such a time as the asset class rerates. Furthermore, RFF aims to achieve income growth through productivity improvements, conversion of assets to higher and better use along with rental indexation which is built into all of its contracts with its tenants.
The broker expects Rural Funds to pay dividends per share of 11.7 cents in both FY 2024 and FY 2025. Based on its current share price of $2.01, this would mean dividend yields of 5.8%.
