But which ASX dividend shares could be top picks for the month ahead? Let's take a look at three that could be worth considering.

HomeCo Daily Needs REIT (ASX: HDN)

HomeCo Daily Needs REIT could be an ASX dividend share to buy next month. It offers exposure to a portfolio of convenience-based retail properties, including supermarkets and essential service centres.

What makes this business particularly appealing is the resilience of its tenant base. These are typically retailers that consumers rely on regardless of economic conditions, which helps support stable rental income.

In fact, its recent half-year results highlight the strength of this model, with occupancy and rent collection both remaining above 99%. In addition, the trust continues to grow through a pipeline of development projects and targeted acquisitions.

With a focus on essential retail and consistent income generation, HomeCo Daily Needs REIT could be an attractive option for investors seeking dependable dividends.

Smartgroup Corporation Ltd (ASX: SIQ)

Smartgroup may be a less well-known ASX dividend share, but it has been quietly delivering strong results.

The company provides salary packaging and novated leasing services, benefiting from a large and growing customer base across corporate and government sectors. Its capital-light business model supports strong cash flow and high returns on equity.

Its recent performance has reinforced this strength, with EBITDA growing 14% and margins expanding to 41% in FY 2025. The company also returned a significant portion of earnings to shareholders, with dividends representing 90% of net profit.

Looking ahead, with strong cash generation and a supportive demand backdrop, it appears well positioned to continue delivering attractive dividends.

Woolworths Group Ltd (ASX: WOW)

Woolworths remains one of the ASX's most dependable dividend shares, underpinned by the consistent demand for groceries and everyday essentials.

What makes the investment case more compelling today is the progress it is making operationally. Recent results showed improving customer metrics and stabilising market share, supported by targeted investment in value and convenience. This suggests the business is strengthening its competitive position, which is critical for sustaining earnings over time.

At the same time, Woolworths is driving productivity gains and cost efficiencies while continuing to invest in its supply chain and digital capabilities. These initiatives are aimed at supporting margins and cash flow as conditions normalise.

With a resilient earnings base, improving operational momentum, and a clear focus on efficiency, Woolworths appears well placed to deliver reliable and gradually growing dividends over the long term.

The post Why Woolworths and these ASX dividend shares could be buys in April appeared first on The Motley Fool Australia.

The team at Macquarie said they expected new vehicle demand to continue improving after growing 0.7% year over year in October, with a forecast that volumes will grow by the low to mid-single digits in the second half of calendar 2025.

Car sellers in the spotlight

Macquarie has an outperform rating on dealers Eagers Automotive Ltd (ASX: APE) and Autosports Group Ltd (ASX: ASG), but said on balance they prefer Eagers.

As they said in their note to clients:

Eagers is our preference given the scale of its organic and inorganic growth opportunities. Its acquisition of CanadaOne provides a platform for further North American inorganic growth, in what is a highly fragmented market.  

The Macquarie team expect Eagers' organic growth to be bolstered by the strength of electric vehicle BYD sales in Australia, as well as from an agreement struck as part of the CanadaOne deal to collaborate with Japan's Mitsubishi Corporation.

Eagers recently announced it would buy a 65% stake in CanadaOne for $1.04 billion.

Macquarie has a price target of $29.98 on Eagers stock and $3.63 for Autosports Group.

Aftermarket sales strong

In the 4X4 accessories market, the Macquarie team has an outperform rating on Amotiv Ltd (ASX: AOV) and ARB Corporation Ltd (ASX: ARB), saying Amotiv's valuation is attractive and its FY26 guidance is "achievable".  

They added:

We remain positive on ARB's offshore growth opportunities, with export segment sales growth of 16.4% in FY25 increasing to 17.6% in its recent first quarter AGM update.

They have a price target of $44.90 on ARB shares and $11.66 on Amotiv shares.

In the automotive financing sector, the Macquarie team likes three companies, in descending order of preference: Fleetpartners Group Ltd (ASX: FPR), SmartGroup Corporation Ltd (ASX: SIQ), and McMillan Shakespeare Ltd (ASX: MMS).

Their price targets for the companies are $3.68, $8.99, and $19.69, respectively.

In other automotive news, used car digital platform company Carma Ltd (ASX: CMA) listed on the ASX this week after raising $100 million at $2.70 per share.

The shares have traded lower since their Wednesday listing and are now changing hands for $2.45.

Carma is differentiated from its peers in the sector by offering a testing and reconditioning service for cars sold on the platform, ensuring customers can buy with confidence.

As well as selling cars to retail customers, the platform also conducts wholesale auctions.

The post Macquarie has singled out the automotive stocks they say are worth a look appeared first on The Motley Fool Australia.

S&P Dow Jones Indices has announced its next quarterly rebalance, effective 22 September.

Tech share Macquarie Technology Group Ltd (ASX: MAQ) will also depart, as will cancer biotech Clarity Pharmaceuticals Ltd (ASX: CU6).

You can find out which shares will enter the ASX 200 index on 22 September here.

What is an index rebalance?

Every three months, the S&P Dow Jones Indices team updates the composition of Australia's leading indices.

Rebalances ensure our indices accurately reflect the performance of the nation's largest companies by market capitalisation.

Indices provide a consistent way to measure the market's performance and monitor its momentum over any given period of time.

The ASX 200 is the benchmark index for the Australian share market.

What will happen to the stocks that drop out of the ASX 200?

Being part of the ASX 200 gives a company a bit of extra prestige.

Dropping out of the index indicates the company is not doing as well as before.

Leaving the ASX 200 can have tangible effects on a stock's price.

One reason is that many exchange-traded funds (ETFs) and managed funds are designed to track the ASX 200.

This means fund managers must adjust their holdings at each rebalance, selling ASX shares that are dropped and buying those added.

This often leads to extra trading activity around the rebalance date, which may influence a stock's price.

Rebalances have greater significance than ever before due to the rising popularity of ASX ETFs.

Betashares data shows Australians invested a record $5.28 billion into ASX ETFs in July alone.

The ASX ETF industry now has a record $289.2 billion in funds under management.

With so much money invested in ETFs, the rebalances can directly affect the passive investment support for individual stocks.

Aussies love ETFs because they're diversified investments that are purchasable in a single trade for one brokerage fee.

Most ETFs follow an index, which means they are very cheap to run, resulting in low ongoing management fees for investors.

9 ASX shares about to leave the ASX 200

Here are the stocks that will be exiting the ASX 200 in the next rebalance.

The post 9 ASX shares including Nuix and PolyNovo dumped from ASX 200 appeared first on The Motley Fool Australia.

If you guessed it was because they went ex-dividend, you'd be close to the mark, but not quite right.

In fact, shares in salary packaging services company Smartgroup Corporation Ltd (ASX: SIQ) did go ex-dividend, meaning you'd have to have owned the shares before today to be in line to receive the 19.5 cents per share dividend on September 23.

But the same can't be said for the other two biggest losers, auto accessories company Amotiv Ltd (ASX: AOV) and synthetic skin company Polynovo Ltd (ASX: PNV).

What all three do have in common is that they will be dropped from the ASX 200 Index effective prior to the start of trade on September 22.

This is important for the price of a stock because inclusion in the index means it must be held by exchange traded funds (ETFs) and other funds which track the index, usually in proportion to how much of the index they represent.

Being punted from an index in the regular quarterly rebalance announced by S&P Dow Jones reduces the number of institutions that must own the stock and creates new selling pressure as those institutions seek to sell the shares they do own.

All in all, nine shares will be removed from the ASX 200, and nine added in, with DroneShield Ltd (ASX: DRO), Superloop Ltd (ASX: SLC), and Greatland Resources Ltd (ASX: GGP) among those joining the index.

At the upper end of the market, Treasury Wine Estates Ltd (ASX: TWE) was removed from the ASX 50, while software company Technology One Ltd (ASX: TNE) was added.  

The post What do the worst performing stocks on the ASX 200 today all have in common? appeared first on The Motley Fool Australia.

Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:

Mayne Pharma Group Ltd (ASX: MYX)

The Mayne Pharma share price is down 13% to $4.58. This morning, this pharmaceuticals company released an update on its proposed takeover by Cosette Pharmaceuticals. It highlights that there are reports that the South Australian government would look to block the sale of the business if its suitor were to close its Salisbury operations. Given that Cosette has been looking for ways to get out of the deal, investors appear to believe this could be the nail on the coffin for the takeover. The company said: "Mayne Pharma is aware that, since Cosette's purported termination of the Scheme, Cosette has had some correspondence with FIRB in respect of its intentions for the Mayne Pharma business (including possible intentions to either close or sell the Salisbury site) following implementation of the Scheme, should Cosette's attempts to terminate, or otherwise get out of its obligations under, the SID, fail."

Metal Powder Works Ltd (ASX: MPW)

The Metal Powder Works share price is down over 4% to $3.53. This morning, this advanced metal powder production technology developer announced that it has received firm commitments from sophisticated and professional investors to raise $15 million through a share placement priced at $3.50 per share. Its CEO, John Barnes, said: "The additional A$15 million in funding provides us with the balance sheet strength to accelerate our growth strategy, scale production, grow market share, broaden our product offering while maintaining the financial strength to execute at speed."

Smartgroup Corporation Ltd (ASX: SIQ)

The Smartgroup share price is down 5% to $8.63. This has been driven by the salary packaging and fleet management's company's shares going ex-dividend this morning for its fully franked interim dividend of 19.5 cents per share. This will be paid to eligible shareholders later this month on 23 September.

Super Retail Group Ltd (ASX: SUL)

The Super Retail share price is down 4% to $18.09. This has also been caused by the retail conglomerate's shares going ex-dividend this morning. Last month, the BCF, Macpac, Rebel, and Supercheap Auto owner released its full year results and declared a fully franked final dividend of 34 cents per share and a fully franked special dividend of 30 cents per share. These will be paid to eligible shareholders next month on 16 October.

The post Why Mayne Pharma, Metal Powder Works, Smartgroup, and Super Retail shares are dropping today appeared first on The Motley Fool Australia.

Will the market be able to build on this on Monday? Here are five things to watch:

ASX 200 expected to fall

The Australian share market looks set to start to the week in the red following a poor finish on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 15 points or almost 0.2% lower. In the United States, the Dow Jones was down 0.5%, the S&P 500 fell 0.3% and the Nasdaq dropped slightly.

Oil prices tumble

It looks set to be a poor start to the week for ASX 200 energy shares such as Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) after oil prices tumbled on Friday night. According to Bloomberg, the WTI crude oil price was down 2.5% to US$61.87 a barrel and the Brent crude oil price was down 2.2% to US$65.50 a barrel. This follows news that OPEC has agreed to boost its output in October to regain market share.

ASX 200 shares going ex-dividend

A number of ASX 200 shares are going ex-dividend this morning and could trade lower. This includes insurance broker AUB Group Ltd (ASX: AUB), investment platform provider Hub24 Ltd (ASX: HUB), salary packaging company Smartgroup Corporation Ltd (ASX: SIQ), and retail conglomerate Super Retail Group Ltd (ASX: SUL). The latter is rewarding its shareholders with a fully franked final dividend of 64 cents per share next month on 16 October.

Gold price charges higher

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a good start to the week after the gold price charged higher on Friday night. According to CNBC, the gold futures price was up a further 1.3% to US$3,653.3 an ounce. Weak US jobs data fuelled rate cut bets and drove the gold price to a record high.

DroneShield to join the ASX 200

DroneShield Ltd (ASX: DRO) shares will be on watch on Monday after the high-flying counter drone technology company was added to the ASX 200 index at the September quarterly rebalance. It is one of nine shares joining the index when the market opens on 22 September. Heading out of the index are the likes of Credit Corp Group Ltd (ASX: CCP), Nufarm Ltd (ASX: NUF) and Polynovo Ltd (ASX: PNV).

The post 5 things to watch on the ASX 200 on Monday appeared first on The Motley Fool Australia.

With the August reporting season done and dusted, scores of companies have ex-dividend dates next week.

If you're keen to buy any of these ASX shares while they are still trading cum dividend, time is running out!

To receive a stock's next dividend, you must buy or already own it before the ex-dividend day.

We provide a sample of the ASX shares going ex-dividend next week below.

35 ASX shares about to go ex-dividend

The post 35 ASX shares with ex-dividend dates next week appeared first on The Motley Fool Australia.

The company provides specialist employee management services to organisations throughout Australia.

What was behind the rise?

It's likely the stock price rise was due to positive results for its most recent half. 

The company reported: 

• Revenue up 7% to $159.1 million
• Operating EBITDA up 13% to $63.3 million
• NPATA 12% higher at $38.1 million
• Interim dividend of 19.5 cents per share fully franked, up 11%

Commenting on Smartgroup's performance over the first half of 2025, Managing Director and CEO, Scott Wharton, said: 

Smartgroup continued its track record of consistent delivery in the first half of 2025, achieving strong financial momentum across all key metrics. NPATA rose 12% to $38.1 million. Return on equity reached 30.7%, an increase of 1.9 percentage points, reflecting our capital-light business model and robust cash flow conversion.

Surprisingly, the stock price fell more than 3% on Thursday, before rebounding with a bang on Friday. 

What did Macquarie have to say?

In a report on Thursday, Macquarie said the ASX industrials stock delivered a stronger-than-expected 1H25 result, with NPATA up 11.6% and EBITDA margins improving to 40%. Novated lease demand remained solid, with settlements up 8%, though yields declined slightly due to softer attachment rates.

SIQ is balancing near-term growth and margins, while investing in the medium-term outlook.

The broker said demand remains strong, driven by operating momentum and ongoing digital marketing and customer engagement uplift. In the report, Macquarie noted management are focused on driving organic growth by addressing low penetration rates within the customer base.

Price target and outlook for SIQ

The broker has an "outperform" rating on this ASX industrials stock on the back of confidence in continued growth
supported by improved novated lease penetration and a customer base of 2.4 million.

It has a 12 month price target of $8.99. 

However, after rising 12% on Friday, Smartgroup Corporation shares closed the week at $9.05 each which indicates the stock is trading close to fair value. 

This is consistent with valuations elsewhere. 

Online broker Selfwealth has an average price target of $9.01, while TradingView has a 12 month price target of $8.90. 

The post This ASX industrials stock just soared 12% on Friday – Can it continue according to Macquarie? appeared first on The Motley Fool Australia.

The post Here are the top 10 ASX 200 shares today appeared first on The Motley Fool Australia.

At the time of writing, the shares are trading in the red, down 3.11% at $7.79 each. Over the year, the share price is 0.13% higher.

Smartgroup's H1 FY25 results

Here are the key numbers:

• Revenue was up 7% to $159.1 million
• Operating EBITDA was up 13% to $63.3 million
• NPATA was 12% higher at $38.1 million
• Interim dividend of 19.5 cents per share fully franked, up 11%

What happened?

For the six months ended 30 June, Smartgroup posted a 7% lift in its operating revenue to $159.1 million from the prior corresponding period (pcp). Operating expenses were also 4% higher than H1 FY24.

Operating EBITDA was 13% higher than the pcp at $63.6 million, meaning the EBITDA margin was 40%, up 2ppt.

Net profit after tax adjusted to exclude the non-cash affected amortisation (NPATA) was $38.1 million, up 12% on pcp. Meanwhile, statutory NPAT was $38.1 million, up 11% on pcp.

The company said Electric Vehicles (EV) accounted for 48% of H1 2025 new car lease orders, including plug-in hybrid EVs (PHEV) at 12%. Internal Combustion Engine (ICE) new car lease orders increased 9% compared to the previous period.

The business enjoyed a continued strong Return on Equity (ROE) of 30.7%, up 1.9ppt on pcp.

The board declared an interim fully franked dividend of 19.5 cents per share for the six months to 30 June 2025, representing a payout ratio of 69% of NPATA. The record date for the dividend is 9 September 2025 and the payment date is 23 September 2025. There is no dividend reinvestment plan in place.

Company commentary on the results

Commenting on the ASX 200 company's performance over the first half of 2025, managing director and CEO Scott Wharton said:

We continue to grow customer numbers to record levels across salary packaging, novated leasing and fleet, highlighting the strength of our offering and the trust we continue to build with our clients.

Our Strategic Priorities, announced in February 2024, are progressing to plan. We are well positioned within the industry to deliver profitable growth. During the first half of the year, we continued to enhance digital marketing and lead generation activities. We also launched our new digital salary packaging signup journey to improve customer onboarding and deliver scalable growth.

Wharton also commented that, regarding the company's outlook, some of the external short-term uncertainties have eased.

Demand for our products and services remains strong, driven by solid operating momentum and ongoing enhancements in digital marketing and customer engagement.

We are executing our Strategic Priorities to deliver profitable growth and improve efficiency while strengthening Smartgroup's market position. Based on current market conditions, we are targeting midforties EBITDA margin during 2027. With sustained investment, including automation and agentic capabilities, we see continued opportunities to further elevate business performance beyond 2027.

The post This ASX 200 dividend share slides following H1 FY25 results appeared first on The Motley Fool Australia.

Here's what they are recommending:

Accent Group Ltd (ASX: AX1)

Bell Potter has named Accent Group as a buy with a $2.60 price target. It is a footwear-focused retailer that owns and operates leading brands like The Athlete's Foot, Hype DC, and Platypus. It is also rolling out the Sports Direct brand across the ANZ region.

In respect to income, the broker is forecasting fully franked dividends of 10.2 cents per share in FY 2025 and then 12.7 cents per share in FY 2026. Based on its current share price of $1.94, this represents dividend yields of 5.25% and 6.5%, respectively.

Endeavour Group Ltd (ASX: EDV)

Another ASX dividend share that gets the thumbs up is Endeavour Group. It is the leader in the Australian alcohol retail market through its popular store brands Dan Murphy's and BWS. Morgan Stanley has an overweight rating and $5.30 price target on its shares.

As for dividends, the broker is forecasting fully franked dividends of 19 cents per share in FY 2025 and then 21 cents per share in FY 2026. Based on the current Endeavour share price of $4.10, this will mean dividend yields of 4.6% and 5.1%, respectively.

HomeCo Daily Needs REIT (ASX: HDN)

Morgans rates HomeCo Daily Needs REIT as an ASX dividend share to buy. It has an add rating and $1.33 price target on the daily needs focused real estate investment trust.

The broker is expecting some big dividend yields in the near term. It is forecasting dividends per share of 8.6 cents in both FY 2025 and FY 2026. Based on its current share price of $1.26, this would mean dividend yields of 6.8%.

Rural Funds Group (ASX: RFF)

Bell Potter has also named Rural Funds as an ASX dividend share to buy with a $2.45 price target. It is a diversified agricultural property company that owns a portfolio of high-quality assets leased to major operators.

The broker is forecasting dividends per share of 11.7 cents in FY 2025 and then 12.2 cents in FY 2026. Based on its current share price of $1.76, this will mean dividend yields of 6.6% and 6.9%, respectively.

Smartgroup Corporation Ltd (ASX: SIQ)

Finally, Smartgroup could be an ASX dividend share to buy according to Macquarie. It has an outperform rating and $9.06 price target on the salary packaging and novated leasing services provider's shares.

As for income, the broker is forecasting fully franked payouts of 50.8 cents per share in FY 2025 and then 53.6 cents in FY 2026. Based on its current share price of $7.68, this implies dividend yields of 6.6% and 7%, respectively.

The post 5 quality ASX dividend shares to buy now appeared first on The Motley Fool Australia.

In light of this, income investors may get better risk-adjusted returns from buying ASX dividend stocks. But which ones?

Here are two that analysts rate very highly:

IPH Ltd (ASX: IPH)

The first ASX dividend stock that could be a buy is IPH. It is a leading intellectual property (IP) services company operating across the globe through a number of brands. This includes AJ Park, Griffith Hack, Smart & Biggar, and Spruson & Ferguson.

Morgans thinks that its shares would be a good option for income investors. Particularly given their attractive valuation. The broker recently said:

IPH's valuation is undemanding (~10.8x FY25F PE), however investor patience is required given the delivery of organic growth looks to be the catalyst for a re-rating.

As for dividends, the broker is forecasting fully franked payouts of 35 cents per share in FY 2025 and then 36 cents per share in FY 2026. Based on the current IPH share price of $4.57, this will mean dividend yields of 7.7% and 7.9%, respectively.

Morgans currently has an add rating and $6.30 price target on its shares.

Smartgroup Corporation Ltd (ASX: SIQ)

Another ASX dividend stock that could be better than a term deposit is Smartgroup.

It is a leading provider of employee benefits, end-to-end fleet management, and software solutions. At the last count, it had over 400,000 salary packages and 64,000 novated leases under management.

Bell Potter is a fan of the company and believes it would be a good pick in the current environment. It highlights its defensive business, favourable tailwinds, and attractive valuation as reasons for income investors to buy. The broker said:

SIQ looks well priced given a forward P/E of ~12x, a defensive client base, earnings tailwinds from the Electric Car Discount Bill (exempts low or zero emission vehicles from Fringe Benefits Tax), an ROE of ~30% and a strong balance sheet.

In respect to income, the broker is forecasting fully franked dividends of 53.3 cents in FY 2024 and then 59.7 cents in FY 2025. Based on its current share price of $7.82, this would mean very large potential dividend yields of 6.8% and 7.6%, respectively.

Bell Potter currently has a buy rating and $10.00 price target on its shares.

The post Forget term deposits and buy these ASX dividend stocks in May appeared first on The Motley Fool Australia.

That's because listed below are three that Bell Potter thinks are among the best to buy right now and has named on its Australian equities panel.

Here's what it is saying about them:

IVE Group Ltd (ASX: IGL)

The first ASX dividend share that Bell Potter is tipping as a buy is IVE Group. It is Australia's largest integrated marketing communications business with leading positions across every sector in which the company operates.

Bell Potter notes that the company has diversified and resilient business which positions it to pay big dividends. It explains:

Over the past 20 years or so has expanded organically into logistics, creative services, integrated marketing and web offset printing and through acquisition into data driven communications, retail display, premiums and merchandising, marketing automation, distribution and digital catalogues. The result is a diversified, resilient business which has supported a consistently high dividend yield and a strong Balance Sheet to pursue further growth opportunities.

The broker is forecasting fully franked dividends of 18 cents per share in both FY 2025 and FY 2026. This equates to 7.3% dividend yields at current prices.

Smartgroup Corporation Ltd (ASX: SIQ)

Another ASX dividend share to buy could be Smartgroup. It is an industry-leading provider of employee benefits, end-to-end fleet management and software solutions with over 400,000 salary packages and 64,000 novated leases under management.

Bell Potter highlights its attractive valuation and positive growth outlook as reasons to buy. It said:

SIQ looks well priced given a forward P/E of ~12x, a defensive client base, earnings tailwinds from the Electric Car Discount Bill (exempts low or zero emission vehicles from Fringe Benefits Tax), an ROE of ~30% and a strong balance sheet.

The broker is forecasting fully franked dividends of 60.8 cents per share in FY 2025 and then 64.4 cents per share in FY 2026. Based on its current share price, this will mean dividend yields of 8% and 8.5%, respectively.

Universal Store Holdings Ltd (ASX: UNI)

Finally, Universal Store could be a top ASX dividend share to buy. It is a leading youth focused apparel, footwear and accessories retailer in Australia.

Bell Potter likes the company due to its strong earnings growth outlook and cheap valuation. It explains:

UNI will continue to increase store numbers over the next few years, supporting earnings growth of 14% p.a. over (FY25-27). Valuation looks attractive, trading on a fwd P/E of ~14x. UNI is a quality small cap (ROE ~25%) that is executing on its rollout strategy.

As for income, the broker is forecasting fully franked dividends of 34.6 cents per share in FY 2025 and then 36.6 cents per share in FY 2026. This equates to dividend yields of 4.5% and 4.8%, respectively.

The post 3 of the best ASX dividend shares to buy now appeared first on The Motley Fool Australia.

Five ASX dividend shares that analysts think could be worth your attention next month are listed below. Here's what they are forecasting from them:

APA Group (ASX: APA)

If infrastructure-backed income is your style, then APA Group should be on your watchlist. The energy infrastructure giant is on track to increase its dividend for 20 years in a row. Macquarie rates it as a buy and expects dividend yields of 6.9% in FY 2025 and 7% in FY 2026.

Nickel Industries Ltd (ASX: NIC)

Looking to capture long-term growth in the electric vehicle supply chain while being paid handsomely to wait? Then Nickel Industries might be worth a look. Bell Potter estimates that it offers a 7.8% dividend yield in FY 2025 and then a 19.5% yield in FY 2026. It has a buy rating on the ASX dividend share and sees major upside over the next 12 months.

Smartgroup Corporation Ltd (ASX: SIQ)

Smartgroup is one of the more reliable ASX dividend shares. It specialises in salary packaging and novated leasing solutions, serving a largely government and not-for-profit customer base. Bell Potter remains bullish and sees its dividend yield hitting 8% in FY 2025 and then 8.5% in FY 2026.

Treasury Wine Estates Ltd (ASX: TWE)

Another ASX dividend share to look at in May is Treasury Wine. It is a wine giant with a focus on premium and luxury brands like Penfolds. With China removing tariffs from Australian wine and premium demand picking up in the US, it could be entering a new growth phase. Goldman Sachs thinks this is the case and has put a buy rating on its shares. In respect to income, it expects partially franked dividend yields of 4.8% in FY 2025 and then 5.6% in FY 2026.

Universal Store Holdings Ltd (ASX: UNI)

Finally, youth-focused fashion retailer Universal Store has become a quiet achiever on the dividend front. The company is executing well on its national store rollout strategy and has delivered a growing stream of dividends since its IPO. The good news is that Bell Potter expects this trend to continue. As a result, it has put a buy rating on its shares and is forecasting fully franked dividend yields of 4.5% in FY 2025 and then 4.8% in FY 2026.

The post 5 excellent ASX dividend shares to buy in May appeared first on The Motley Fool Australia.

For investors chasing passive income, the ASX offers a surprisingly simple solution — and with the right mix of dividend-paying shares, you could be earning $1,000 a month (or more).

$1,000 a month from ASX dividend shares

Firstly, it is worth noting that to generate $1,000 a month, or $12,000 per year, in dividends you will need a sizeable portfolio.

Based on an average dividend yield of 5%, you would be looking at a portfolio value of roughly $240,000.

Now, before you scroll away — remember, this isn't about getting rich overnight. It is about building a solid, sustainable income stream over time. If you're already part of the way there, great. If not, this strategy can help you get on track.

Start with growth

It may seem counterintuitive to skip dividends to begin with when your aim is to build a monthly income stream.

However, unless you're already sitting on a sizeable nest egg, you are going to have to build up your investment portfolio to be able to generate income.

Based on a return of 10% per annum, which is in line with historical averages but not guaranteed, investors could build a $240,000 portfolio in just over 11 years by investing $1,000 per month.

Switch to quality dividend payers

Once you have a portfolio of the desired value, it is time to start thinking about passive income.

If you're going to rely on dividends, the businesses behind them matter. You want companies with strong balance sheets, consistent cash flow, and a track record of paying (and ideally growing) dividends.

Here are a few examples of ASX dividend shares that could form the backbone of a winning income strategy and could be worth further investigation:

• HomeCo Daily Needs REIT (ASX: HDN) — A property trust focused on essential retail, paying steady distributions with income paid quarterly.
• Smartgroup Corporation Ltd (ASX: SIQ) — A strong dividend payer with yields around 8% and a client base that includes government and not-for-profits.
• Super Retail Group Ltd (ASX: SUL) — Owner of Rebel, BCF and Supercheap Auto, with fully franked dividend yields approaching 5% based on current analyst forecasts.
• Telstra Group Ltd (ASX: TLS) — Defensive earnings, consistent dividends, and exposure to growth in mobile and data infrastructure.
• Universal Store Holdings Ltd (ASX: UNI) — A top dividend stock with growth potential, offering fully franked yields over 4% and still expanding its store footprint.

This mix spreads your income across sectors — telecoms, retail, property, and services — reducing reliance on any one company or industry.

Foolish takeaway

You don't need to overthink it. With patience, a clear goal, and the right mix of dividend-paying shares, building a $1,000 a month income stream is well within reach. And perhaps much sooner than you thought possible, even when starting at zero.

The post The easy way to earn $1,000 a month in dividends from the ASX appeared first on The Motley Fool Australia.

But which ones?

Listed below are three high yield shares that analysts rate as buys. Here's what you need to know about them:

Smartgroup Corporation Ltd (ASX: SIQ)

Smartgroup might fly under the radar, but it continues to impress on the income front.

The company provides salary packaging and novated leasing services, and thanks to its government and not-for-profit client base, its earnings are relatively stable — even in more uncertain times. Demand has also picked up following electric vehicle incentives, creating a new tailwind for growth.

Analysts at Bell Potter are positive on the company, pointing to its low valuation and reliable dividends. They highlight that it "looks well priced given a forward P/E of ~12x, a defensive client base, earnings tailwinds from the Electric Car Discount Bill, an ROE of ~30% and a strong balance sheet."

The broker has a buy rating and $10.15 price target on its shares.

As for dividends, it is forecasting fully franked payouts of 60.8 cents per share in FY 2025 and then 64.4 cents in FY 2026. Based on its current share price of $7.51, this implies dividend yields of 8.1% and 8.6%, respectively.

Super Retail Group Ltd (ASX: SUL)

Another ASX dividend stock that is tipped to provide big dividend yields is Super Retail. It is the owner of Rebel, Supercheap Auto, BCF, and Macpac brands.

Its extensive loyalty program and wide customer base have helped keep revenues ticking over, even as consumers become more cautious. This has caught the eye of analysts at Goldman Sachs, which have put a buy rating and $15.50 price target on its shares.

In respect to income, Goldman Sachs expects dividends of 64 cents per share in FY 2025 and then 66 cents in FY 2026. This represents dividend yields of 4.9% and 5.1%, respectively, based on its current share price of $13.02.

Universal Store Holdings Ltd (ASX: UNI)

A final ASX dividend stock that could be a buy according to analysts is Universal Store.

The youth fashion retailer continues to expand across the country, opening new stores and capturing market share along the way.

Macquarie rates Universal Store as a top pick in the small-to-mid-cap space and has an outperform rating and $9.80 price target on its shares.

As for income, the broker expects dividends of 33.8 cents per share in FY 2025 and then 39.5 cents in FY 2026, offering yields of 4.7% and 5.5% based on its current price of $7.20.

The post Buy these ASX dividend stocks for big yields appeared first on The Motley Fool Australia.

There are no spreadsheets, no bosses, no clocking in. Just reliable income flowing into your bank account, month after month, thanks to dividends from ASX shares.

It might sound like a dream, but with time, discipline, and the right strategy, it is absolutely achievable.

Here's how smart investors can build a portfolio capable of delivering $50,000 of passive income per year.

Start with ASX growth shares, finish with income

Unless you're already lucky enough to be sitting on a million-dollar cash balance, the first step isn't about chasing dividend yields — it is about building your capital base.

To earn $50,000 in annual income from ASX shares, you need a portfolio worth around $1 million, assuming an average dividend yield of 5%.

That might seem like a mountain to climb, but here's the good news: it doesn't need to happen overnight.

Many investors spend their early years focused on growth-oriented shares and ASX ETFs — building wealth through capital gains, reinvested dividends, and compounding. Over time, that disciplined approach can grow into a sizeable portfolio.

Then, once you've built up that capital, the focus can shift. That's when the real magic happens.

From builders to payers

Once your portfolio hits the million-dollar mark, you don't need to keep building. You can rotate into high-quality, income-generating ASX shares and ASX ETFs with a focus on dependable dividends.

The goal? A sustainable 5% average dividend yield, ideally with some franking credits to sweeten the deal.

Here's what a diversified income portfolio might include if you were ready to build it in today's market:

• Telstra Group (ASX: TLS) – Australia's largest telco and a fully franked dividend payer with exposure to essential services.
• APA Group (ASX: APA) – A defensive infrastructure play offering steady cash flows and reliable payouts.
• Super Retail Group (ASX: SUL) – Owner of brands like Rebel and Supercheap Auto, offering solid dividends and exposure to consumer spending.
• Smartgroup Corporation (ASX: SIQ) – A salary packaging and fleet services provider with a high dividend yield.
• Vanguard Australian Shares High Yield ETF (ASX: VHY) – For broad, diversified exposure to Australia's top dividend payers in one trade.

Importantly, these aren't speculative income traps. They're businesses (and funds) with solid balance sheets, sustainable payout ratios, and a history of rewarding shareholders.

Foolish takeaway

Building a passive income machine doesn't happen overnight. It takes patience, discipline, and a clear strategy: grow first, then harvest.

But with the right ASX shares and a long-term mindset, that $50,000 goal becomes far more than a fantasy. It becomes a plan — and with enough time, a reality.

The post How to earn $50,000 of passive income from ASX shares appeared first on The Motley Fool Australia.

That's because brokers have named them as buys are forecasting some attractive dividend yields in the near term. Here's what they are recommending:

Nick Scali Limited (ASX: NCK)

The first ASX dividend share that could be a buy is furniture retailer Nick Scali.

Its shares are trading well below their peak and at a level that Macquarie thinks is very attractive.

The broker was impressed by the company's recent earnings beat, highlighting a "significant uNPAT beat of 28% to the mid-point of guidance supported by GM% ahead of expectations."

Macquarie expects the positive form to continue and underpin fully franked dividends of 54.1 cents in FY 2025 and then 66.2 cents in FY 2026. Based on its current share price of $16.11, this would mean dividend yields of 3.4% and 4.1% respectively at current prices.

Macquarie has an outperform rating and $19.90 price target​ on its shares.

Smartgroup Corporation Ltd (ASX: SIQ)

Another ASX dividend share that has been given the thumbs up by brokers is salary packaging and fleet services provider Smartgroup.

Bell Potter sees it as a high-quality income stock, highlighting its attractive valuation, defensive earnings, positive outlook as reasons to buy. It said:

SIQ looks well priced given a fwd P/E of ~14.5x, a defensive client base, earnings tailwinds from the Electric Car Discount Bill (exempts low or zero emission vehicles from Fringe Benefits Tax), an ROE of ~30% and a strong balance sheet.

The broker expects this to underpin fully franked dividends per share of 60.8 cents in FY 2025 and then 64.4 cents in FY 2026. Based on its current share price of $7.51, this will mean dividend yields of 8.1% and 8.6%, respectively.

Bell Potter currently has a buy rating on Smartgroup's shares with a $10.15 price target.

Universal Store Holdings Ltd (ASX: UNI)

Finally, youth fashion retailer Universal Store could be another ASX dividend share to buy according to analysts.

Macquarie is positive about the company and recently named it as one of the best small to mid sized cap stocks to buy.

The broker highlights that "UNI continues to win market share, with ongoing store roll-out supporting network sales growth."

It expects this to position Universal Store to pay fully franked dividends of 33.8 cents in FY 2025 and then 39.5 cents in FY 2026. Based on its current share price of $8.12, this will mean dividend yields of 4.15% and 4.9%, respectively.

Macquarie has an outperform rating and $9.80 price target​ on its shares.

The post Brokers say these 3 ASX dividend shares are top buys appeared first on The Motley Fool Australia.

While they tend to carry higher risk than their large-cap counterparts, they can also deliver outsized returns when things go right — especially when backed by strong fundamentals and broker support.

With that in mind, here are three small cap ASX shares that brokers are tipping for big things in the years ahead.

Lovisa Holdings Ltd (ASX: LOV)

The first small cap ASX share to consider buying is Lovisa. It is a fast-fashion jewellery retailer with a global store rollout strategy that continues to gain traction.

One broker that is particularly bullish is Macquarie, which has an outperform rating and $33.40 price target on its shares.

Its analysts note strong like-for-like sales momentum and margin expansion. The broker also sees recent executive changes as a chance to improve the business's cost base and efficiency. And with international store growth still in the early innings and a capital-light model that generates strong returns on equity, Lovisa is well positioned to grow earnings over the long term.

Nick Scali Ltd (ASX: NCK)

Another small cap ASX share that analysts are tipping as a buy is Nick Scali. It is a premium furniture retailer that has grown strongly over the years thanks to disciplined store rollouts, high margins, and a strong brand presence. It is now looking to replicate that success offshore, including a push into the UK market.

Macquarie is also feeling very positive about this small cap and has put an outperform and $18.60 price target on its shares. The broker highlights its margin strength and capital management as key reasons to be positive.

And while retail can be cyclical, Nick Scali's strong returns on capital and strategic growth plans make it one of the more compelling retail picks out there.

Smartgroup Corporation Ltd (ASX: SIQ)

A final small cap ASX share to look at is Smartgroup, which is a leading provider of salary packaging and fleet management services. At the last count, it had over 400,000 salary packages and 64,000 novated leases under management.

Bell Potter is very positive on the company. So much so, it has named the small cap ASX share on its Australian Equities Panel. The broker believes that Smartgroup "looks well priced given a fwd P/E of ~14.5x, a defensive client base, earnings tailwinds from the Electric Car Discount Bill (exempts low or zero emission vehicles from Fringe Benefits Tax), an ROE of ~30% and a strong balance sheet."

The broker has a buy rating and $10.15 price target on its shares.

The post 3 top small cap ASX shares that brokers are tipping for big things appeared first on The Motley Fool Australia.

But for investors with a long-term mindset, this selloff could be a golden opportunity—especially for those looking to lock in top ASX dividend shares at attractive prices.

Dividend stocks provide investors with regular income, and when they're bought at lower prices, the dividend yields become even more appealing.

Right now, several top dividend-paying shares are trading well below their highs, despite their businesses remaining fundamentally strong. Here's why I'd be buying ASX dividend shares now before the inevitable market recovery.

A chance to secure higher dividend yields

One of the biggest advantages of buying dividend shares during a downturn is the ability to lock in higher yields. As share prices fall, dividend yields rise—provided companies can maintain their payouts.

For example, take Accent Group Ltd (ASX: AX1), one of Australia's leading footwear and fashion retailers. It has a strong history of dividend payments and is currently trading at just 13 times estimated FY 2025 earnings.

Analysts at Bell Potter expect it to deliver fully franked dividends of 13.7 cents per share in FY 2025 and then 15.6 cents in FY 2026. Based on its current share price of $1.76, this equates to juicy yields of 7.8% and 8.9%, respectively.

Bell Potter has a buy rating and $2.60 price target on the ASX dividend share.

Defensive businesses with reliable income

During times of market volatility, companies with defensive earnings tend to hold up better. These are businesses that consumers rely on regardless of economic conditions, making their cash flows and dividends more stable.

One such company is Woolworths Group Ltd (ASX: WOW). As one of Australia's largest supermarket chains, Woolworths enjoys a steady stream of revenue even in uncertain times. People still need to buy groceries, making it one of the more resilient dividend shares on the ASX. While its share price has dipped, its dividend payments remain solid, offering investors reliable income while waiting for a share price recovery.

Goldman Sachs expects fully franked dividends per share of 85 cents in FY 2025 and then $1.06 in FY 2026. Based on its current share price of $28.17, this will mean dividend yields of 3% and 3.75%, respectively.

Goldman Sachs has a buy rating and $36.10 price target on its shares.

For those willing to look beyond the big names, Smartgroup Corporation Ltd (ASX: SIQ) could be an ASX dividend share to buy. It provides salary packaging and fleet management services, generating consistent cash flow that supports its dividend payments. The company has been sold off recently, but analysts believe it remains a solid long-term income stock with an attractive yield.

One of those is Bell Potter, which is forecasting fully franked dividends of 60.8 cents per share in FY 2025 and then 64.4 cents per share in FY 2026. Based on its current share price of $6.91, this represents generous dividend yields of 8.8% and 9.3%, respectively.

Bell Potter currently has a buy rating on Smartgroup's shares with a price target of $10.15..

The post Why I'd buy ASX dividend shares now before the share market recovers appeared first on The Motley Fool Australia.