With the share market rebounding over the past couple of months, it can be difficult to find quality ASX dividend stocks to buy at compelling prices right now.
Rising share prices are exciting for investors already in the market. But it can make life a little more challenging for newer investors who'd like to convert their cash into ASX dividend stocks in the current environment.
To illustrate, dividend stocks like Commonwealth Bank of Australia (ASX: CBA), Wesfarmers Ltd (ASX: WES), and Coles Group Ltd (ASX: COL) are currently trading at their lowest dividend yields in years, if not ever.
But hope is not lost. In my view, there are still ASX dividend stocks out there that are worth buying for income today. So here are the stocks I'd be looking at if I had $1,000 to spend this winter.
Three smart ASX dividend stocks to buy with $1,000 today
Lottery Corporation Ltd (ASX: TLC)
First, we have the gaming stock Lottery Corp, which runs lotteries and Keno services. This company has exclusive licenses to run these games in most Australian states and territories, with many of these licenses lasting decades.
In my view, this makes Lottery Corp a unique opportunity for a long-term income investment. The enduring popularity of lotteries and Keno should ensure that this company remains a stable and reliable income provider for the foreseeable future. Today, Lottery Corp shares trade on a fully franked dividend yield of 3.02%.
Westpac Banking Corp (ASX: WBC)
As one of the big four bank stocks, Westpac is another ASX dividend share that is hard to overlook for income. Westpac has been paying fat, fully franked dividends for decades. As a major bank, it is also a significant pillar of the entire Australian economy, and thus, should continue to prosper alongside the broader economy.
Of its major banking peers, Westpac stands out today with its relatively high dividend yield. Its shares currently trade on a fully franked yield of 4.48%.
Woolworths Group Ltd (ASX: WOW)
Finally, supermarket operator Woolworths is another ASX dividend stock worth a look. Woolworths has had a rough few years on the ASX in the face of tough business conditions and a loss of market share to its rival Coles. Far from being put off by this, I think it makes for a great long-term buying opportunity.
Yes, the company has had some problems. But I think they are temporary, and do not threaten Woolworths' long-term leading position in its sector. Today, Woolies shares are trading on a fully-franked dividend yield of around 3.1%, which is quite rare for this company. As such, I think this blue-chip stock is well worth a look at current pricing.
