5 excellent ASX dividend shares to buy this month

Analysts have put buy ratings on these income stocks for a reason.

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Key points

  • Telstra Group and Accent Group are gaining attention from analysts for their attractive dividend yields, with Telstra promising yields up to 4.25% and Accent aiming for 7.5% in the coming years.
  • APA Group and HomeCo Daily Needs REIT are also highlighted, with both expected to deliver yields around 6.4%, boosted by APA's robust energy infrastructure and HomeCo's solid retail and logistics portfolio.
  • Rural Funds Group offers enticing yields of 6.1% by providing exposure to high-quality agricultural assets, making it another top pick for dividend-focused investors.

The Australian share market is home to a great number of dividend-paying shares, but which ones could be buys this month?

Let's take a look at five ASX dividend shares that analysts are recommending to clients. They are as follows:

APA Group (ASX: APA)

Energy infrastructure company APA Group could be an ASX dividend share to buy according to analysts at Macquarie. They currently have an outperform rating and $9.23 price target on its shares.

As for income, the broker is forecasting some big dividend yields in the near term. It expects dividends of 58 cents per share in FY 2026 and then 59 cents per share in FY 2027. Based on its current share price, this would mean dividend yields of 6.3% and 6.4%, respectively.

Accent Group Ltd (ASX: AX1)

Over at Bell Potter, its analysts think that Accent could be a top option for income investors. They have a buy rating and $1.80 price target on the footwear retailer's shares.

In respect to dividends, the broker is forecasting fully franked dividends of 7.8 cents per share in FY 2026 and then 9.2 cents per share in FY 2027. Based on its current share price of $1.23, this would mean dividend yields of 6.3% and 7.5%, respectively.

HomeCo Daily Needs REIT (ASX: HDN)

Another ASX dividend share that is highly rated is HomeCo Daily Needs REIT. It owns a diversified portfolio of convenience-focused retail and logistics properties.

UBS is positive on the company and has a buy rating and $1.53 price target on its shares.

The broker believes HomeCo Daily Needs REIT is positioned to pay dividends per share of 8.6 cents in FY 2026 and then 8.7 cents in FY 2027. Based on its current share price, this represents dividend yields of 6.3% and 6.4%, respectively.

Rural Funds Group (ASX: RFF)

Rural Funds Group could be an ASX dividend share to buy. It provides exposure to high-quality Australian agricultural assets, from cattle and cropping farms to almond orchards.

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

In respect to income, the broker is forecasting dividends of 11.7 cents per share for both FY 2026 and FY 2027. This would mean dividend yields of 6.1% for both years.

Telstra Group Ltd (ASX: TLS)

Finally, Macquarie thinks that Australia's largest telecommunications company could be an ASX dividend share to buy. It has an outperform rating and $5.04 price target on Telstra's shares.

As for income, the broker is forecasting fully franked dividends of 20 cents per share in FY 2026 and then 21 cents per share in FY 2027. Based on its current share price of $4.94, this would mean dividend yields of 4% and 4.25%, respectively.

Motley Fool contributor James Mickleboro has positions in Accent Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Macquarie Group. The Motley Fool Australia has positions in and has recommended Apa Group, Macquarie Group, Rural Funds Group, and Telstra Group. The Motley Fool Australia has recommended Accent Group and HomeCo Daily Needs REIT. 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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