Looking to buy a quality S&P/ASX 300 Index (ASX: XKO) dividend stock with some outsized share price growth potential?
Then you may wish to have a gander at Myer Holdings Ltd (ASX: MYR).
Shares in the Aussie department store owner have come under selling pressure in 2025. Currently trading for 68 cents apiece, the Myer share price is down a sharp 45.0% year to date. Though following a strong finish to 2024, shares remain up 5.8% over 12 months.
On the passive income front, the ASX 300 dividend stock has paid out 3 cents a share in fully franked dividends over the full year. That sees Myer shares trading on a fully franked trailing dividend yield of 4.4%.
Atop its income payments, Canaccord Genuity forecasts some material outperformance for Myer stock in the year ahead.
Here's why.
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ASX 300 dividend stock poised to rebound
On 28 May, Myer held its first investor strategy day since 2017, spearheaded by executive chairwoman Olivia Wirth.
Wirth welcomed investors and told them:
Having undertaken significant work in recent months, including the completion of a comprehensive, companywide strategic review, an analysis of global and retail trends, gathered customer insights, examined supply chains and sourcing channels, and then finalised the Apparel Brands acquisition, we are now very clear on our strategy and priorities and how we intend to grow value for shareholders.
Allan Franklin, senior analyst at Canaccord, sounded an optimistic note on the ASX 300 dividend stock in a new research report following Myer's investor day presentation.
"Myer's investor day materials and management discussions bore out the numerous modifications required to drive improved customer experience and spend," Franklin said.
"There is no doubt a high level of execution risk ahead, but we concur with management that MYR has a strong retail engine that can be optimised," he added.
According to Franklin:
Having underperformed in each of its sector verticals over the past decade, we believe there remains a large potential prize worth playing for.
Of importance, Myer's brand health looks to be in good stead and, within a six-month window, material improvements to the way the group engages with its customers should have been actioned.
Franklin concluded, "Any early indicators of success from these initiatives act as key upcoming catalyst, in our view."
Canaccord maintained its buy recommendation on the ASX 300 dividend stock with a target price of $1.05 a share.
That represents a potential upside of 54.4% from current levels. And that doesn't include those upcoming dividends.
