2 ASX dividend shares to buy this month: experts

These two stocks with solid yields are rated as buys.

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Key points

  • Scentre Group (ASX: SCG) is poised for growth with seven buy ratings from analysts, benefiting from RBA cash rate cuts enhancing household spending and reducing interest rates, boosting property values.
  • In the latest report, Scentre experienced a 2.9% rise in business partner sales, a 3.2% FFO increase, and aims to offer a 4.2% yield with a 17.72 cents annual distribution per security for 2025.
  • Steadfast Group Ltd (ASX: SDF), praised by broker UBS, maintains profit growth despite a revenue slowdown through cost control, with a projected 6% to 10% FY26 EPS growth and a 5.1% grossed-up dividend yield.

There are a wide range of appealing ASX dividend shares available for Aussies to buy. Experts have named some of them as appealing opportunities.

I'm not talking about the biggest Australian companies like Commonwealth Bank Australia (ASX: CBA), Westpac Banking Corp (ASX: WBC) or Rio Tinto Ltd (ASX: RIO).

Both businesses I'll cover are leaders in Australia and they're rated as opportunities by some brokers. Let's take a look.

Scentre Group (ASX: SCG)

Scentre is the owner of Westfield shopping centres in Australia and New Zealand. According to a collation of analyst opinions by Commsec, there are currently seven buy ratings on the business.

I believe cash rate cuts by the RBA will be significantly beneficial for this business. It could lead to an increase in household budgets, enabling more expenditure at Scentre's locations.

Rate cuts may also mean a reduction in interest rates for Scentre, helping operating profits.

Finally, the underlying value of Scentre's properties could increase thanks to rate cuts.

In the recent reporting season, the ASX dividend share reported that in the six months to June 2025, business partner sales increased 2.9% year-over-year to $13.8 billion. It also revealed funds from operations (FFO) growth of 3.2% to $587 million and distribution per security growth of 2.5% to 8.815 cents.

It's expecting to pay an annual distribution of 17.72 cents per security for 2025, which translates into a yield of 4.2% at the time of writing.

Steadfast Group Ltd (ASX: SDF)

Broker UBS is one institution that likes Steadfast. UBS describes this business as Australasia's largest general insurance broker network and underwriting agency group, with general insurance brokerages across Australia, Asia and Europe.

After seeing the recent FY25 result from the company, UBS noted an organic revenue slowdown, but it's "pulling on costs to maintain profit growth". Cost control helped margins improve in both the broker and agency segments.

Steadfast has guided that FY26 earnings per share (EPS) could grow by between 6% to 10%, consisting of 3% from acquisitions and between 3% to 7% from organic sources. UBS said this growth rate is "respectively in the context of a moderating premium rate outlook" and interest income headwinds.

The broker is expecting a greater US contribution to the FY26 numbers, with the Novum acquisition adding US$100 million of gross written premium (GWP). While not a retail broker, it is the ASX dividend share's first agency/wholesale acquisition in the US, which UBS called a sizeable deal.

UBS is forecasting that the business could pay an annual dividend per share of 22 cents in FY26. This would translate into a grossed-up dividend yield of 5.1%, including franking credits.

Motley Fool contributor Tristan Harrison 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 Steadfast Group. The Motley Fool Australia has positions in and has recommended Steadfast 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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