These top ASX dividend shares offer 5% to 10% yields

Analysts are expecting very generous dividends from these buy-rated shares.

| More on:
Middle age caucasian man smiling confident drinking coffee at home.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • HomeCo Daily Needs REIT is an attractive dividend share for stable income, with a focus on retail centres like supermarkets, expected to deliver yields of 6.3% and 6.4% in FY 2026 and FY 2027, according to UBS, which rates it as a buy.
  • IPH Ltd, a prominent intellectual property services group, offers compelling dividend yields of 10.8% for the coming fiscal years; Morgans supports its robust potential with a buy rating and a $6.05 price target.
  • Jumbo Interactive Ltd, known for its online lottery services, is forecasted by Morgan Stanley to provide yields of 5.1% and 6% in FY 2026 and FY 2027, leveraging a promising start to the year, with an overweight rating and a price target of $16.80.

Do you have room for some new additions in your income portfolio? If you do, then it could be worth looking at the three ASX dividend shares in this article.

They have been given buy ratings by brokers, who are forecasting attractive and growing payouts in the near term. Here's what they are recommending to clients:

HomeCo Daily Needs REIT (ASX: HDN)

HomeCo Daily Needs REIT could be an ASX dividend share to buy.

It is a real estate investment trust (REIT) that focuses on convenience-based retail centres such as supermarkets, pharmacies, and medical clinics. These are assets that tend to have stable tenants and long leases.

At the last count, its portfolio was valued at $4.9 billion, had 99% occupancy, and a weighted average lease expiry of 4.9 years.

UBS is a fan of the company and believes it is positioned to pay dividends of 8.6 cents per share in FY 2026 and then 8.7 cents per share FY 2027. Based on its current share price of $1.36, this would mean dividend yields of 6.3% and 6.4%, respectively.

The broker has a buy rating and $1.53 price target on its shares.

IPH Ltd (ASX: IPH)

Another ASX dividend share that could be a buy according to analysts is IPH.

It is an international intellectual property services group working throughout 26 IP jurisdictions, with clients in more than 25 countries. The company has a diverse client base of Fortune Global 500 companies and other multinationals, public sector research organisations, SMEs, and professional services firms.

Morgans is a fan of the company and is expecting it to reward shareholders with fully franked dividends of 37 cents per share in FY 2026 and FY 2027. Based on its latest share price of $3.42, this would mean large 10.8% dividend yields for both years.

Morgans has a buy rating and $6.05 price target on its shares.

Jumbo Interactive Ltd (ASX: JIN)

A third ASX dividend share for income investors to look at is Jumbo Interactive.

It is the online lottery ticket seller and lottery platform provider behind the Oz Lotteries app and Powered by Jumbo platform.

Morgan Stanley has been pleased with its positive start to the year. It believes that this leaves it positioned to pay fully franked dividends of 57.7 cents per share in FY 2026 and then 68.4 cents per share in FY 2027. Based on its current share price of $11.32, this would mean dividend yields of 5.1% and 6%, respectively.

The broker currently has an overweight rating and $16.80 price target on its shares.

Motley Fool contributor James Mickleboro 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 Jumbo Interactive. The Motley Fool Australia has recommended HomeCo Daily Needs REIT, IPH Ltd , and Jumbo Interactive. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

ATM with Australian hundred dollar notes hanging out.
Dividend Investing

Here's how you could turn the stock market into a $1,000 monthly passive income machine

Passive income can flow from the stock market…

Read more »

Person holding Australian dollar notes, symbolising dividends.
Dividend Investing

$10,000 in these ASX dividend shares pays how much passive income?

Let's see what sort of income could be generated from these buy-rated shares.

Read more »

A smiling man at a shop counter takes payment from a customer, with racks of plants in the background.
Dividend Investing

Forget BHP shares! Buy these ASX dividend shares instead for passive income

I’d rather dig into these shares than BHP. Here’s why.

Read more »

Smiling woman with her head and arm on a desk holding $100 notes out, symbolising dividends.
Dividend Investing

This 9% yield is one I'm comfortable holding for the long term

This business has a history of paying large dividends.

Read more »

Man holding fifty Australian Dollar banknote in his hands, symbolising dividends, symbolising dividends.
Dividend Investing

An ASX dividend stalwart every Australian should consider buying

This business offers both a good yield and payout growth.

Read more »

Man holding out Australian dollar notes, symbolising dividends.
Dividend Investing

5 ASX dividend shares to buy for an income boost

Let's see why these shares could be top picks for income investors right now.

Read more »

Increasing stack of blue chips with a rising red arrow.
Blue Chip Shares

2 ASX blue-chip shares offering big dividend yields

I’m backing these two businesses as appealing dividend stocks.

Read more »

A happy, smiling man stretches out among yellow daisies in the green grass, dreaming of success.
Share Market News

How I'd invest monthly savings to generate over $50,000 passive income

This is how modest monthly investing could turn into serious passive income.

Read more »