Are you looking for some income options for your portfolio?
If you are, then check out these ASX income shares listed below. They have recently been tipped as buys by analysts. Let's see why they are bullish:
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Dexus Industria REIT (ASX: DXI)
The team at Morgans is tipping Dexus Industria as an ASX income share to buy.
As its name hints, it is a real estate investment trust with a focus on industrial warehouses.
A recent note reveals that the broker believes the company is positioned to benefit from solid demand for industrial property, its development pipeline, high occupancy rates, and the positive rental growth outlook. It said:
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 is forecasting 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.
The broker currently has an add rating and $3.20 price target on its shares.
Worley Ltd (ASX: WOR)
Over at Goldman Sachs, its analysts are tipping Worley as an ASX income share to buy.
Worley describes itself as a global professional services company of energy, chemicals and resources experts. It partners with customers to deliver projects and create value over the life of their assets.
Goldman Sachs is very positive on the company's outlook. This is due partly to its position as a beneficiary of the decarbonisation megatrend. It said:
WOR is well positioned to play a role in enabling the transition from fossil fuels to a more sustainable energy mix in the LT, leveraging its experience in providing engineering and maintenance services for complex energy/chemicals works, existing client relationships, and management's stated focus on expanding the company's transition footprint. We expect the energy transition segment to gain increased investor attention as Covid-19 related impacts fade and the company continues to highlight the strong growth potential of the business via increased disclosure. We expect WOR's ST/MT margins to improve with an incrementally positive operating environment. Vs the S&P/ASX 200, WOR is trading broadly in line with market vs a premium in the last 3yr/5yr.
Goldman is forecasting dividends per share of 52 cents in FY 2024 and then 58 cents in FY 2025. Based on the latest Worley share price of $14.70, this equates to dividend yields of 3.5% and 3.95%, respectively.
The broker currently has a buy rating and $17.50 price target on its shares.
