Brokers name 3 ASX dividend shares to buy

Income investors might want to check out these companies.

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There are a lot of ASX dividend shares to choose from on the Australian share market.

So many, it can be hard to decide which ones to buy above others.

Well, to narrow things down for you, let's take a look at three options that brokers have recently named as buys. They are as follows:

IDP Education Ltd (ASX: IEL)

This language testing and student placement company is not usually considered to be an ASX dividend share. However, with its shares sinking like a stone this year due to tough operating conditions, there are now some reasonable dividend yields on offer for income investors. And in time, there's potential for these yields to become significantly larger.

For the near term, Goldman Sachs is forecasting fully franked dividends of 40 cents in FY 2024, 38 cents in FY 2025, and then 44 cents in FY 2026. Based on its current share price of $15.41, this equates to yields of 2.6%, 2.5%, and 2.9%, respectively.

Goldman also sees huge upside for its shares with its buy rating and $21.75 price target. This is over 40% higher than where its shares currently trade.

SRG Global Ltd (ASX: SRG)

Analysts at Bell Potter think that SRG Global could be an ASX dividend share to buy. It is a diversified industrial services group that provides multidisciplinary construction, maintenance, production drilling and geotechnical services.

The broker is forecasting the company to pay shareholders fully franked dividends of 4.7 cents in FY 2024 and then 6.7 cents in FY 2025. Based on its current share price of 86 cents, this will mean dividend yields of 5.45% and 7.8%, respectively.

Bell Potter currently has a buy rating and $1.30 price target on its shares.

Suncorp Group Ltd (ASX: SUN)

A final ASX dividend share that brokers are positive on this month is Suncorp. It is the insurance giant behind brands including AAMI, Apia, Bingle, GIO, Shannons, and Vero, as well as the eponymous Suncorp brand.

Analysts at Goldman Sachs are also positive on the company and believe some attractive dividend yields await buyers at current levels. The broker is forecasting fully franked dividends per share of 78 cents in FY 2024 and then 83 cents in FY 2025. Based on the current Suncorp share price of $16.39, this will mean dividend yields of 4.75% and 5.1%, respectively.

Goldman Sachs currently has a buy rating and $17.54 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 positions in and has recommended Goldman Sachs Group and Idp Education. The Motley Fool Australia has recommended Srg Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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