3 of the best ASX dividend shares to buy now

Income investors might want to check out these shares that Bell Potter rates as buys.

| 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

If you are on the lookout for ASX dividend shares to buy, then read on.

That's because listed below are three that Bell Potter thinks are among the best to buy right now and has named on its Australian equities panel.

Here's what it is saying about them:

A group of businesspeople clapping.

Image source: Getty Images

IVE Group Ltd (ASX: IGL)

The first ASX dividend share that Bell Potter is tipping as a buy is IVE Group. It is Australia's largest integrated marketing communications business with leading positions across every sector in which the company operates.

Bell Potter notes that the company has diversified and resilient business which positions it to pay big dividends. It explains:

Over the past 20 years or so has expanded organically into logistics, creative services, integrated marketing and web offset printing and through acquisition into data driven communications, retail display, premiums and merchandising, marketing automation, distribution and digital catalogues. The result is a diversified, resilient business which has supported a consistently high dividend yield and a strong Balance Sheet to pursue further growth opportunities.

The broker is forecasting fully franked dividends of 18 cents per share in both FY 2025 and FY 2026. This equates to 7.3% dividend yields at current prices.

Smartgroup Corporation Ltd (ASX: SIQ)

Another ASX dividend share to buy could be Smartgroup. 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 highlights its attractive valuation and positive growth outlook as reasons to buy. It said:

SIQ looks well priced given a forward P/E of ~12x, a defensive client base, earnings tailwinds from the Electric Car Discount Bill (exempts low or zero emission vehicles from Fringe Benefits Tax), an ROE of ~30% and a strong balance sheet.

The broker is forecasting fully franked dividends of 60.8 cents per share in FY 2025 and then 64.4 cents per share in FY 2026. Based on its current share price, this will mean dividend yields of 8% and 8.5%, respectively.

Universal Store Holdings Ltd (ASX: UNI)

Finally, Universal Store could be a top ASX dividend share to buy. It is a leading youth focused apparel, footwear and accessories retailer in Australia.

Bell Potter likes the company due to its strong earnings growth outlook and cheap valuation. It explains:

UNI will continue to increase store numbers over the next few years, supporting earnings growth of 14% p.a. over (FY25-27). Valuation looks attractive, trading on a fwd P/E of ~14x. UNI is a quality small cap (ROE ~25%) that is executing on its rollout strategy.

As for income, the broker is forecasting fully franked dividends of 34.6 cents per share in FY 2025 and then 36.6 cents per share in FY 2026. This equates to dividend yields of 4.5% and 4.8%, respectively.

Motley Fool contributor James Mickleboro has positions in Universal Store. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Smartgroup. 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 man wearing a colourful shirt holds an old fashioned phone to his ear with a look of curiosity on his face as though he is pondering the answer to a question.
Dividend Investing

If I invest $5,000 in Telstra shares today, how much passive income will I receive in FY26 and FY27?

Here’s your potential income based on the latest dividend forecasts.

Read more »

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

This ASX income stock has a 4.75% yield and pays out monthly

You can still find big yields if you know where to look.

Read more »

Person handing out $50 notes, symbolising ex-dividend date.
Dividend Investing

How big an ASX portfolio earns $50,000 a year in dividends?

The simple sum most investors run gives the wrong answer.

Read more »

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

3 top ASX dividend shares to buy with 5% to 7% yields

Analysts think these shares are buys for income investors. Let's find out why.

Read more »

Happy man holding Australian dollar notes, representing dividends.
Dividend Investing

Is this one of the best ASX dividend shares to buy now offering a 5.9% yield?

Bell Potter rates this dividend shares very highly.

Read more »

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

5 ASX dividend stocks for passive income investors

Income investors might want to check these shares if they want to boost their portfolio.

Read more »

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

Down 25%: 3 ASX dividend shares to buy with 7% yield

The market is expecting big dividend yields from these names in 2027.

Read more »

Happy man holding Australian dollar notes, representing dividends.
Dividend Investing

Passive income investors take note: This monthly-paying ASX stock yields 9%

I'd add this ASX dividend-paying stock to my portfolio today!

Read more »