5 ASX dividend shares to buy with $5,000 now

Let's see what analysts are tipping as buys for income investors with money to put into the market.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Are you looking for new ASX dividend shares to buy? If you are and have $5,000 to invest, then read on.

Five that have recently been given buy ratings by analysts are listed below. Here's why they could be top picks for income investors right now:

Middle age caucasian man smiling confident drinking coffee at home.

Image source: Getty Images

Aspen Group Limited (ASX: APZ)

Analysts at Bell Potter think that Aspen Group could be an ASX dividend share to buy. It is a leading provider of quality affordable accommodation across residential, land lease, and holiday park communities.

The broker currently has a buy rating and $3.05 price target on its shares. As for income, it is forecasting dividends per share of 10 cents in FY 2025 and then 10.3 cents in FY 2026. Based on the current Aspen share price of $2.74, this will mean dividend yields of 3.6% and 3.8%, respectively.

Challenger Ltd (ASX: CGF)

Goldman Sachs thinks that annuities company Challenger could be an ASX dividend share to buy with your $5,000.

It likes Challenger due to its "exposure to the growing superannuation market." The broker currently has a buy rating and $7.30 price target on its shares.

In respect to dividends, Goldman is forecasting fully franked dividends of 28 cents per share in FY 2025 and then 29 cents per share in FY 2026. Based on the current Challenger share price of $5.51, this will mean dividend yields of 5.1% and 5.25%, respectively.

Dexus Convenience Retail REIT (ASX: DXC)

Bell Potter also thinks that Dexus Convenience Retail REIT could be an ASX dividend share to buy. It owns a portfolio of Australian service stations and convenience retail assets. The broker currently has a buy rating and $3.30 price target on its shares.

In respect to income, the broker expecting the company to pay dividends per share of 20.6 cents in FY 2025 and then 21 cents in FY 2026. Based on its current share price of $2.91, this implies dividend yields of 7.1% and 7.2%, respectively.

National Storage REIT (ASX: NSR)

A third ASX dividend share that has been named as a buy by analysts is National Storage. It is the largest self-storage provider in Australia and New Zealand, with over 260 locations providing tailored storage solutions to more than 97,000 residential and commercial customers.

The team at Citi is bullish on the company and has a buy rating and $2.70 price target on its shares. As for income, it is forecasting dividends per share of 11.3 cents in FY 2025 and then 11.9 cents in FY 2026.  Based on its current share price of $2.20, equates to dividend yields of 5.1% and 5.4%, respectively.

Telstra Group Ltd (ASX: TLS)

Goldman Sachs also thinks that Telstra could be an ASX dividend share to buy right now with $5,000. The broker has a buy rating and $4.50 price target on the telecommunications giant's shares.

In respect to income, Goldman is forecasting fully franked dividends of 19 cents per share in FY 2025 and then 20 cents per share in FY 2026. Based on the current Telstra share price of $4.08, this represents dividend yields of 4.65% and 4.9%, respectively.

Citigroup is an advertising partner of Motley Fool Money. Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. The Motley Fool Australia has positions in and has recommended Telstra Group. The Motley Fool Australia has recommended Aspen Group and Challenger. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

A woman looks quizzical while looking at a dollar sign in the air.
Dividend Investing

Forget CBA shares! I'd rather buy these ASX dividend shares

These businesses offer significant passive income for investors.

Read more »

Happy young couple saving money in piggy bank.
Dividend Investing

3 strong ASX passive income shares I'd buy now

These shares could be worth considering if your goal is an income boost.

Read more »

Smiling woman with her head and arm on a desk holding $100 notes, symbolising dividends.
Dividend Investing

Which ASX 200 sectors paid the highest dividend yields in FY26?

Experts say capital gains tax changes may prompt investors to focus on yield. So, which sectors pay best?

Read more »

Man holding out $50 and $100 notes in his hands, symbolising ex dividend.
Dividend Investing

How to build $60,000 in annual passive income from ASX dividend shares

Building $60,000 in annual passive income from ASX dividend shares is achievable.

Read more »

Man holding fifty Australian Dollar banknotes in his hands, symbolising dividends.
Dividend Investing

2 ASX shares with dividend yields above 7.5%

These stocks offer investors a significant level of passive income.

Read more »

A woman looks excited as she fans out a wad of Aussie $100 notes.
Dividend Investing

These ASX shares could generate $10,000 per year in passive income

And here's exactly how much you'd need to invest.

Read more »

Smiling woman with her head and arm on a desk holding $100 notes, symbolising dividends.
Dividend Investing

5 top ASX dividend shares to buy in July

Looking for an income boost? Check out these shares.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Dividend Investing

Want passive income? These ASX dividend shares keep delivering

Reliable dividends today, growing passive income for years ahead.

Read more »