Are you looking for blue chip additions to your income portfolio? Then check out the buy-rated ASX dividend stocks listed below.
They have all been named as buys by brokers recently and tipped to offer attractive yields. Here's what you need to know about these income ideas:
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APA Group (ASX: APA)
APA Group could be a top blue chip ASX dividend stock to buy. It is an energy infrastructure company that owns, manages, and operates a portfolio currently valued at $27 billion.
Analysts at Macquarie remain positive on the company despite its softer outlook for FY 2025 and FY 2026. This is thanks partly to its growth opportunities in the Pilbara.
Importantly, the broker believes that APA Group will be able to continue its long run (almost two decades) of dividend increases in the coming years. It is forecasting dividends per share of 56 cents in FY 2024 and then 58 cents in FY 2025. Based on the current APA Group share price of $7.86, this equates to 7.1% and 7.4% dividend yields, respectively.
Macquarie has an outperform rating and $9.40 price target on its shares.
Coles Group Ltd (ASX: COL)
Another blue chip ASX dividend stock that could be a buy according to analysts is Coles. It is of course one of the big two supermarket operators in Australia.
UBS is tipping its shares as buy. The broker is feeling positive about its outlook thanks to a number of tailwinds. This includes improving margins from its anti-theft measures and cost savings from its investment in automation.
The broker believes this will underpin fully franked dividends per share of 70 cents in FY 2024 and then 74 cents in FY 2025. Based on its current share price of $18.17, this equates to yields of 3.85% and 4.1%, respectively.
UBS has a buy rating and $19.50 price target on its shares.
Endeavour Group Ltd (ASX: EDV)
A final blue chip ASX dividend stock that could be a buy is Endeavour Group. It is the leader in the Australian alcohol retail market through brands such as Dan Murphy's and BWS.
In addition, the company owns the ALH Hotels business, which has over 350 licensed venues across Australian capital cities and regional centres.
Analysts at Goldman Sachs are positive on the company due to its market leadership position and the defensive nature of the alcohol retail market.
They expect this to support fully franked dividends of 21 cents per share in FY 2024 and then 22 cents per share in FY 2025. Based on the current Endeavour share price of $5.39, this will mean dividend yields of 3.9% and 4.1%, respectively.
Goldman currently has a buy rating and $6.50 price target on its shares.
