With the Westpac Banking Corp (ASX: WBC) shares roaring higher over the past 12 months, most brokers agree that the banking giant is vastly overvalued now.
In light of this, it is arguably not a great time to be buying the big four bank.
But what are the alternatives? Let's take a look at three ASX dividend stocks that could be quality options for income investors. They are as follows:
BHP Group Ltd (ASX: BHP)
The team at Goldman Sachs believes that BHP could be an excellent ASX dividend stock to buy right now. The broker is particularly optimistic about the mining giant's growing exposure to copper, a commodity it views favourably due to ongoing supply challenges and increasing global demand.
Goldman Sachs highlights that BHP is well-positioned to capitalise on these trends and believes that its copper EBITDA will grow from US$8.6 billion to US$11.9 billion. This robust growth could be supportive of attractive dividend payments in the near term.
For now, the broker is forecasting fully franked dividends of 99 US cents (~A$1.53) per share in FY 2025 and US$1.08 (~A$1.67) in FY 2026. Based on BHP's current share price of $40.72, this implies dividend yields of 3.75% and 4.1%, respectively.
This week, Goldman Sachs has retained its buy rating with a slightly improved price target of $47.40.
Dexus Convenience Retail REIT (ASX: DXC)
Another ASX dividend stock that analysts are backing instead of Westpac is Dexus Convenience Retail REIT. This property company owns a portfolio of 100 service station and convenience retail assets located across Australia.
These properties are valued at $741 million and leased to high-quality tenants on attractive, long-term leases. At the last count, the company boasted a lengthy weighted average lease expiry (WALE) of 8.8 years.
But management isn't settling for that. It has highlighted the company's significant growth opportunities, driven by contracted annual rent increases across all leases and a targeted acquisition strategy. This is expected to support stable and growing income streams for investors.
Morgans expects this to be the case. The broker is forecasting dividends per share of 20.6 cents for FY 2025 and 21.5 cents for FY 2026. Based on the current share price of $2.96, this implies attractive dividend yields of 7% and 7.25%, respectively.
Morgans has an add rating and $3.25 price target on its shares.
National Storage REIT (ASX: NSR)
Finally, a third ASX dividend share for income investors to look at is National Storage.
It is one of the ANZ region's leading self-storage operators with over 230 centres that provide tailored storage solutions to 90,000+ residential and commercial customers.
Citi is a fan of the company and remains positive on its outlook. The broker expects rental increases and acquisitions to continue to drive growth in the medium term.
Its analysts are expecting this to support dividends per share of 11.3 cents in FY 2025 and then 11.9 cents in FY 2026. Based on the current National Storage share price of $2.51, this equates to yields of 4.5% and 4.75%, respectively.
Citi has a buy rating and $2.70 price target on its shares.
