These high yield ASX dividend shares could be buys

These shares have been tipped to provide investors with big yields…
The post These high yield ASX dividend shares could be buys appeared first on The Motley Fool Australia. –

If you’re wanting to boost your portfolio with some high yield dividend shares, then the two listed below could be worth considering.

Here’s what you need to know about these ASX dividend shares:

BHP Group Ltd (ASX: BHP)

If you’re not opposed to investing in the resources sector, then the Big Australian could be a top option. Especially given its high quality, low cost, and diverse operations and favourable commodity prices.

As readers will no doubt be aware, the iron ore price has been on fire over the last 12 months and is currently trading within sight of record highs. In addition to this, oil prices have just hit three-year highs and have been tipped to keep climbing.

All in all, based on BHP’s cost guidance, it is generating significant free cash flow based on current spot prices. And given the strength of its balance sheet, this bodes well for dividends in the near term.

Analysts at Macquarie are very positive on BHP and are expecting a record second half result in August. The broker currently has an outperform rating and $63.00 price target on its shares.

As for dividends, it is forecasting dividends of ~$4.05 per share in FY 2021 and ~$3.68 per share in FY 2022. Based on the current BHP share price of $48.22, this will mean fully franked yields of 8.4% and 7.6% over the next two years.

Super Retail Group Ltd (ASX: SUL)

Another ASX dividend share to consider is Super Retail. It is the retail conglomerate behind the BCF, Macpac, Rebel, and Supercheap Auto brands.

Super Retail’s businesses have been performing particularly positively in FY 2021 thanks to a favourable redirection in consumer spending. With international travel off the cards, consumers have been spending heavily in other categories, leading to stellar sales and profit growth.

For example, during the first 44 weeks of FY 2021, the company’s like for like sales were up 28% over the prior corresponding period. In addition, Super Retail’s elevated gross margin remained stable since the end of the first half.

Goldman Sachs is positive on Super Retail and is tipping it to reward shareholders with a special dividend this year. It is forecasting an 84 cents per share fully franked dividend for FY 2021. Based on the latest Super Retail share price of $12.74, this represents a 6.6% yield.

Goldman Sachs currently has a buy rating and $15.00 price target on its shares.

The post These high yield ASX dividend shares could be buys appeared first on The Motley Fool Australia.

These Dividend Stocks Could Be Your Next Cash Kings (FREE REPORT)

Motley Fool Australia’s Dividend experts recently released a brand-new FREE report revealing 3 dividend stocks with JUICY franked dividends that could keep paying you meaty dividends for years to come.

Our team of investors think these 3 dividend stocks should be a ‘must consider’ for any savvy dividend investor. But more importantly, could potentially make Australian investors a heap of passive income.

Don’t miss out! Simply click the link below to grab your free copy and discover these 3 high conviction stocks now.

Returns As of 15th February 2021

More reading

BHP (ASX:BHP) share price caught between bulls and bears in June
Why this broker thinks the BHP (ASX:BHP) share price can storm higher
ASX 200 up 0.5%: Telstra asset sale, AGL demerger, Nuix crashes again

Why this expert thinks commodities are about to rally again

BHP (ASX:BHP) announces first deal in thermal coal selloff

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 no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Super Retail Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!