The good news for income investors is that there are a lot of options to choose from on the Australian share market.
So many it can be hard to decide which ones to buy over others. To help narrow things down, let's look at a four ASX dividend stocks that analysts rate as buys.
Here's why they could be top options for income investors:
Cedar Woods Properties Limited (ASX: CWP)
The first ASX dividend stock that analysts are tipping as a buy is Cedar Woods. It is one of Australia's leading property developers.
Morgans is feeling very positive on the company and its outlook. The broker highlights that "looking forward, the signs are positive, with guidance for +10% NPAT growth in FY25, supported by favorable operating conditions in most key states."
It expects this to support dividends per share of 27 cents in FY 2025 and then 33.3 cents in FY 2026. Based on its current share price of $5.29, this equates to 5.1% and 6.3% dividend yields, respectively.
Morgans has an add rating and $6.70 price target on the company's shares.
Centuria Industrial REIT (ASX: CIP)
Centuria Industrial is another ASX dividend stock that analysts think could be in the buy zone.
It is Australia's largest domestic pure-play industrial property investment company, which has an attractive valuation and strong long-term fundamentals according to analysts at UBS.
They expect this to underpin dividends per share of 16 cents for FY 2025 and 17 cents for FY 2026. At the current share price of $2.78, this equates to dividend yields of 5.75% and 6.1%, respectively.
UBS has a buy rating and $3.80 price target on Centuria Industrial shares.
Regal Partners Ltd (ASX: RPL)
Bell Potter thinks Regal Partners could be an ASX dividend stock to buy. It is an alternative investment management company.
The broker likes Regal Partners due to its attractive valuation and robust investment performance.
Its analysts expect this to lead to Regal Partners paying fully franked dividends of 16.3 cents per share in FY 2024 and then 18.1 cents in FY 2025. At the current share price of $3.63, this equates to dividend yields of 4.5% and 5%, respectively.
Bell Potter has a buy rating and $4.85 price target on its shares.
Smartgroup Corporation Ltd (ASX: SIQ)
Finally, Bell Potter also believes that Smartgroup could be an ASX dividend stock to buy.
It is an industry-leading provider of employee benefits, end-to-end fleet management, and software solutions with over 400,000 salary packages and 64,000 novated leases under management.
Bell Potter likes the company due to its belief that it is "well priced given a fwd P/E of ~14.5x, a defensive client base, earnings tailwinds."
In respect to dividends, the broker is forecasting fully franked dividends of 53.3 cents in FY 2024 and then 59.7 cents in FY 2025. Based on its current share price of $7.68, this means dividend yields of 6.9% and 7.8%, respectively.
Bell Potter has a buy rating and $10.00 price target on its shares.
