Buy these ASX income shares in July: Analysts

Income investors might want to check out these stocks that brokers rate as buys.

| 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

The Australian share market is a great place to generate an income.

That's because there are countless ASX shares out there that pay dividends every six months (or even more regularly).

But which ASX income shares could be in the buy zone right now? Let's take a look:

A man thinks very carefully about his money and investments.

Image source: Getty Images

Dalrymple Bay Infrastructure Ltd (ASX: DBI)

The first ASX income share to look at is Dalrymple Bay Infrastructure. It is the long-term operator of the Dalrymple Bay Coal Terminal. This terminal has been Queensland's premier coal export facility for over 40 years.

The team at Morgans is bullish on the company. It currently has an add rating and $3.05 price target on its shares.

As for income, the broker is forecasting dividends per share of 22 cents in FY 2024 and then 23 cents in FY 2025. Based on the latest Dalrymple Bay Infrastructure share price of $2.76, this will mean dividend yields of 8% and 8.3%, respectively.

Endeavour Group Ltd (ASX: EDV)

Over at Goldman Sachs, its analysts think Endeavour Group could be a great stock for income investors to buy. It is the market leader in alcohol retail through brands such as BWS and Dan Murphy's.

Goldman currently has a buy rating and $6.50 price target on its shares.

In respect to dividends, Goldman is forecasting fully franked dividends of 21 cents per share in FY 2024 and 22 cents per share in FY 2025. Based on the current Endeavour share price of $4.96, this will mean dividend yields of 4.2% and 4.4%, respectively.

GDI Property Group Ltd (ASX: GDI)

A third ASX income share to look at is GDI Property. It is a property owner and fund manager that is being tipped as a buy by analysts at Bell Potter.

The broker currently has a buy rating and 75 cents price target on its shares.

Bell Potter believes GDI Property is positioned to pay dividends per share of 5 cents across FY 2024, FY 2025, and FY 2026. Based on the current GDI Property share price of 56 cents, this implies dividend yields of 8.9% for the next three years.

Transurban Group (ASX: TCL)

Finally, analysts at Citi think toll road operator Transurban could an ASX income share to buy.

The broker currently has a buy rating and $15.50 price target on its shares.

As for that all-important income, Citi believes the company is positioned to pay 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 $12.39, this will mean yields of 5.1% and 5.25%, respectively.

Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor James Mickleboro has positions in Endeavour Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group and Transurban Group. The Motley Fool Australia has no position in any of the stocks mentioned. 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 »