Due to its abundance of ASX dividend stocks, the share market is a great place to generate passive income.
So, let's take a look at a few options that could be top picks for income investors right now. They are as follows:
Eagers Automotive Ltd (ASX: APE)
Analysts at Bell Potter think that Eagers Automotive could be an ASX dividend stock to buy for a passive income boost. It is a leading automotive retail group which has been operating for over a century.
Bell Potter acknowledges that trading conditions are not easy right now, but it still thinks the market is underestimating its earnings potential.
It also expects some big dividend yields in the near term. The broker is forecasting fully franked dividends of 66.5 cents per share in FY 2024 and then 73 cents per share in FY 2025. Based on its current share price of $10.49, this represents dividend yields of 6.3% and 7%, respectively.
Bell Potter has a buy rating and $13.00 price target on its shares.
Stockland Corporation Ltd (ASX: SGP)
Over at Citi, its analysts see Stockland as a good option for income investors.
Stockland is a diversified property company that develops, owns, and manages retail centres, business parks, logistics centres, office buildings, residential communities, and retirement living villages.
It is also in the process of adding to its portfolio with the acquisition of 12 Australian Communities projects from Lendlease (ASX: LLC). And while Citi doesn't think the ACCC will let all these assets be acquired, it suspects that the majority of them will be.
It believes this will underpin dividends per share of 25.5 cents in FY 2025 and then 29 cents in FY 2026. Based on the current Stockland share price of $5.09, this will mean yields of 5% and 5.7% yields, respectively.
Citi has a buy rating and $5.30 price target on its shares.
Woodside Energy Group Ltd (ASX: WDS)
A final ASX 200 dividend stock that could be a good source of passive income is Woodside. It is of course one of the largest energy producers in Australia.
Morgans thinks that recent weakness has created a buying opportunity for investors. Especially given its "healthy balance sheet and healthy dividend profile."
In respect to the latter, the broker is forecasting fully franked dividends of $1.93 per share in FY 2024 and then $1.61 per share in FY 2025. Based on the current Woodside share price of $24.02, this represents attractive dividend yields of 8% and 6.57, respectively.
Morgans has an add rating and $33.00 price target on its shares.
