For income-focused investors, high-yield ASX dividend shares can be a great way to generate passive income. With the right picks, you can enjoy reliable dividends while benefiting from potential capital growth.
The good news is that several ASX shares are currently offering dividend yields above 7% and have the backing of top brokers.
Here are three buy-rated high-yield stocks that could be worth considering this week.
APA Group (ASX: APA)
Macquarie sees APA Group as an attractive ASX dividend share to buy right now. APA is a leading Australian energy infrastructure company with a $26 billion portfolio spanning gas, electricity, solar, and wind assets.
The broker expects these assets to support dividend payments of 57 cents per share in FY 2025 and then 57.5 cents per share in FY 2026. At the current APA Group share price of $6.77, this implies generous dividend yields of 8.4% and 8.5%, respectively.
Macquarie currently has an outperform rating and a price target of $8.02 on APA shares, suggesting compelling upside potential.
GQG Partners Inc (ASX: GQG)
Goldman Sachs has named GQG Partners as another top ASX dividend share to buy. The company is a global investment manager overseeing US$153 billion on behalf of institutional investors like pension funds and wealth management firms.
Goldman likes GQG Partners for its "attractive valuation vs. peers in context of very strong earnings growth."
The broker is forecasting dividend payments of 14 US cents (22.3 Australian cents) per share in FY 2025 and then 15 US cents (23.9 Australian cents) in FY 2026. Based on GQG's current share price of $2.26, these dividends would equate to massive yields of 9.9% and 10.6%, respectively.
Goldman currently has a buy rating and $3.00 price target on GQG's shares.
Healthco Healthcare and Wellness REIT (ASX: HCW)
Finally, Bell Potter sees Healthco Healthcare and Wellness REIT as an income opportunity in the real estate sector. The trust owns a $1.6 billion portfolio of healthcare and wellness property assets, including hospitals, aged care, childcare, life sciences, and research facilities.
As for income, Bell Potter is forecasting dividends per share of 8.4 cents in FY 2025 and then 8.7 cents in FY 2026. Given its current unit price of 99.5 cents, this means investors could enjoy dividend yields of 8.4% and 8.75%, respectively.
The broker currently has a buy rating and a price target of $1.50 on Healthco Healthcare and Wellness shares, which suggests that significant upside potential is possible over the next 12 months.
