Buy these ASX dividend shares with 5% and 7% yields

Looking for big yields? Analysts think investors should buy 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 on the hunt for some juicy dividend yields, then you may want to check out the three ASX dividend shares listed below.

That's because analysts have named them as buys and are tipping them to provide income investors with above-average dividend yields in the near term.

Here's what you can expect from them:

Happy man holding Australian dollar notes, representing dividends.

Image source: Getty Images

Accent Group Ltd (ASX: AX1)

The first ASX dividend share that has been tipped to provide big yields is Accent Group. It is a retailer and distributor of performance and lifestyle footwear across over 800 stores in Australia and New Zealand and multiple online stores. Its store brands include HypeDC, Sneaker Lab, Platypus, Stylerunner, Subtype, and The Athlete's Foot.

Bell Potter is forecasting fully franked dividends per share of 13 cents in FY 2024 and then 14.6 cents in FY 2025. Based on the latest Accent share price of $1.99, this represents dividend yields of 6.5% and 7.3%, respectively.

The broker has a buy rating and $2.50 price target on them.

Deterra Royalties Ltd (ASX: DRR)

Over at Morgan Stanley, its analysts think that Deterra Royalties could be a top ASX dividend share to buy. It is a mining royalties company, generating cash from operations such as Mining Area C, which is operated by BHP Group Ltd (ASX: BHP).

Morgan Stanley is forecasting the company to pay dividends of 32.7 cents in FY 2024 and then 39 cents in FY 2025. Based on the current Deterra Royalties share price of $4.58, this will mean yields of 7.1% and 8.5%, respectively.

The broker currently has an overweight rating and $5.60 price target.

Dexus Industria REIT (ASX: DXI)

A third ASX dividend share that has been named as a buy is Dexus Industria. It is a real estate investment trust with a focus on industrial warehouses.

Morgans is a fan of the company due to its belief that its "industrial portfolio remains robust with the outlook positive for rental growth." In addition, it notes that "the development pipeline also provides near and medium-term upside potential and post asset sales there is balance sheet capacity to execute."

The broker expects this to underpin 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 $2.97, this will mean dividend yields of 5.5% and 5.6%, respectively.

Morgans has an add rating and $3.18 price target on its shares.

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 no position in any of the stocks mentioned. The Motley Fool Australia has recommended Accent 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

Hand holding Australian dollar (AUD) bills, symbolising ex dividend day. Passive income.
Dividend Investing

1 ASX dividend stock down 30% I'd buy right now

This business is trading at a great price with a good dividend yield…

Read more »

Woman laying with $100 notes around her, symbolising dividends.
Dividend Investing

How much could a $50,000 ASX share portfolio pay in dividends?

Dividend investing can turn an ASX portfolio into a growing income stream.

Read more »

A boy is about to rocket from a copper-coloured field of hay into the sky.
Dividend Investing

2 ASX income stocks with rocketing dividends

For me, dividend growth trumps yield.

Read more »

An older couple use a calculator to work out what money they have to spend.
Dividend Investing

100,720 shares of this high-yield ASX dividend stock pay income equal to the Age Pension

Generating a full income from dividends sounds appealing, but how much do you actually need?

Read more »

Australian dollar notes in businessman pocket suit, symbolising ex dividend day.
Dividend Investing

2 ASX shares with dividend yields above 7%

Large yields could be very appealing right now.

Read more »

A woman has a thoughtful look on her face as she studies a fan of Australian 20 dollar bills she is holding on one hand while he rest her other hand on her chin in thought.
Dividend Investing

1 ASX dividend stock down 50% I'd buy

This ASX dividend stock has been under pressure. But looking ahead, there are signs the story could be starting to…

Read more »

Man holding out $50 and $100 notes in his hands, symbolising ex dividend.
Share Market News

How much do I need to invest in ASX shares to earn a $500 monthly passive income?

A $500 per month passive income is more achievable than you'd think.

Read more »

Growth of ASX share price represented by tiny beans stalk shooting up into the sky
Dividend Investing

3 ASX dividend shares I'd hold through anything

This trio has scale, resilience, and cash flow to endure market cycles.

Read more »