Here are 3 buy-rated ASX dividend stocks to beat falling interest rates

Brokers are recommending these stocks to clients.

Income investors are spoiled for choice on the Australian share market.

It is among the most generous globally, offering a wide selection of ASX dividend stock with attractive yields. Especially in comparison to what you will find on Wall Street or many other markets.

But which stocks could be top picks for Aussie income investors looking to beat falling interest rates? Here are three that brokers rate as buys this month:

Man holding out Australian dollar notes, symbolising dividends.

Image source: Getty Images

Regal Partners Ltd (ASX: RPL)

The team at Bell Potter thinks that Regal Partners could be an ASX dividend stock to buy.

It is a specialist alternative investment manager with approximately $16.5 billion in funds under management. Regal Partners notes that it manages a broad range of investment strategies covering long/short equities, private markets, real and natural assets, and credit and royalties. This is on behalf of institutions, family offices, charitable groups, and private investors.

Bell Potter believes the company is positioned to pay fully franked dividends of 9.5 cents per share in FY 2025 and then 17.3 cents in FY 2026. At the current share price of $2.15, this equates to dividend yields of 4.4% and 8%, respectively.

The broker currently has a buy rating and $3.35 price target on its shares.

Rural Funds Group (ASX: RFF)

A second ASX dividend stock that could be a buy right now is Rural Funds.

Bell Potter is also positive on this property company which has a focus on agricultural industries. Its portfolio includes almond and macadamia orchards, premium vineyards, water entitlements, cropping and cattle farms.

In respect to income, the broker is forecasting dividends per share of 11.7 cents in FY 2025 and then 12.2 cents in FY 2026. Based on the current Rural Funds share price of $1.77, this will mean yields of 6.6% and 6.9%, respectively.

Bell Potter has a buy rating and $2.45 price target on its shares.

Universal Store Holdings Ltd (ASX: UNI)

Finally, the team at Morgans believes that youth fashion retailer Universal Store could be an ASX dividend stock to buy this month.

Its analysts believe the company is well-placed for growth and are forecasting fully franked dividends per share of 36 cents in FY 2025 and then 40 cents in FY 2026. Based on the current Universal Store share price of $7.71, this will mean attractive dividend yields of 4.7% and 5.2%, respectively.

The broker currently has a buy rating and $10.53 price target on the company's shares.

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 Rural Funds Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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