Fortunately for income investors, the Australian share market is home to a large number of dividend-paying shares.
But which ones could be good options for them right now? Let's take a look at three options from very different sides of the market that analysts are tipping as buys this month.
Here's what they are forecasting for these top ASX dividend shares:
BHP Group Ltd (ASX: BHP)
If you are happy to invest in the mining sector, then it could be a good idea to look at mining giant BHP.
That's because Goldman Sachs thinks the Big Australian will provide investors with a combination of big gains and attractive dividend yields.
The broker currently has a $49.00 price target on the miner's shares. This compares favourably to the current BHP share price of $42.80.
As for dividends, the broker is forecasting fully franked dividends of US$1.42 (A$2.13) per share in FY 2024 and then US$1.26 (A$1.89) per share in FY 2025. At current levels, this equates to dividend yields of 5% and 4.4%, respectively.
Dexus Convenience Retail REIT (ASX: DXC)
Another ASX dividend share that analysts are positive on is Dexus Convenience Retail REIT.
It is a property company that owns a portfolio of service station and convenience retail assets located across Australia.
The team at Morgans is feeling very positive about the company and has an add rating and $3.23 price target on its shares.
In respect to income, the broker is expecting dividends per share of 21 cents in both FY 2024 and FY 2025. Based on its current Dexus Convenience Retail REIT share price of $2.67, this will mean very large dividend yields of 7.85% in both years.
Transurban Group (ASX: TCL)
A third ASX dividend share that could be a top buy for income investors according to analysts is Transurban.
It is a toll road giant that manages and develops road networks in Australia and North America. In Australia, this includes key roads such as the Cross City Tunnel, the Eastern Distributor, and Westlink M7.
Analysts at Citi are bullish on Transurban and currently have a buy rating and $15.50 price target on its shares.
As for dividends, the broker is forecasting dividends per share of 63.6 cents in FY 2024 and then 65.1 cents in FY 2025. Based on the current Transurban share price of $12.58, this will mean yields of 5% and 5.2%, respectively, for income investors.
