2 ASX dividend shares rated as strong buys by brokers

The ASX dividend shares in this article have been rated as strong buys by brokers. One of those income picks is APA Group (ASX:APA).
The post 2 ASX dividend shares rated as strong buys by brokers appeared first on The Motley Fool Australia. –

asx share price dividend yield represented by street sign saying the word yield.

There are some ASX dividend shares that a number of brokers like and have rated as ‘buys’

It can be quite hard to find good businesses that are trading at a good price. One investor might say that BHP Group Ltd (ASX: BHP) is a good buy, whilst another might say that Woolworths Group Ltd (ASX: WOW) is the share to buy.

Brokers are constantly looking at businesses and share prices, thinking about what would be a good investment. There are various brokers out there like Bell Potter, 麦格里银行 (ASX: MQG) and UBS that provide different recommendations about shares.  

With that in mind, these ASX dividend shares are liked by more than one broker. Of course, this still isn’t a guarantee of success – they could all be herding together.

APA Group (ASX: APA)

APA owns a large network of 15,000km of natural gas pipelines around Australia with a presence in every mainland state and the Northern Territory. It also owns or has interests in gas storage facilities, gas-fired power stations and renewable energy generation (wind and solar farms). APA owns, or manages and operates, a portfolio of assets and delivers half the nation’s natural gas usage.

This ASX dividend share is liked by brokers including Macquarie, UBS and Morgans.

Macquarie thinks that short-term gas demand is likely to mean that APA meets or beats the capex goal. Over the longer-term, things like green gas and hydrogen could be good growth areas for APA.

The infrastructure giant has increased its distribution for shareholders every year for a decade and a half, which is one of the longest records on the ASX.

As APA completes more projects, it’s able to grow its operating cashflow, which is what funds its annual distribution.

The latest large project that APA has planned is an investment of up to $460 million to construct a new 580km pipeline in Western Australia to connect emerging gas fields in the Perth Basin to the resource rich Goldfields region, forming an interconnected WA gas grid.

This project, called the Northern Goldfields Interconnect (NGI), is expected to be operational around the middle of the 2022 calendar year. APA said that this investments creates a platform for further growth for APA as more and more resources customers seek energy solutions, including renewables and battery storage underpinned by natural gas.

APA recently announced a 4.3% increase to its FY21 interim distribution, bringing the annualised distribution yield for the ASX dividend share at the current APA share price to 5.4%.

Charter Hall Long WALE REIT (ASX: CLW)

This ASX dividend share is liked by brokers such as Macquarie and Citi.

Citi believes that the rest of FY21 looks positive as the real estate investment trust (REIT) benefits from the $700 million of assets that it acquired in recent months.

This property landlord is operated by manager Charter Hall Group (ASX: CHC). There are various sectors and tenants represented by the REIT’s portfolio of 459 properties.

In terms of income generation, its largest tenants are: Telstra Corporation Ltd (ASX: TLS), Australian federal and state government entities, BP, Woolworths, Inghams Group Ltd (ASX: ING), Coles Group Ltd (ASX: COL) and David Jones.

It is invested across different sectors of property including telco exchanges, office, industrial and logistics, agri-logistics and long WALE retail. WALE stands for weighted average lease expiry.

This ASX dividend share was one of the few REITs to grow the distribution during 2020 despite COVID-19. In the recent FY21 half-year result it announced a 3.6% increase of the operating earnings per share (EPS) and distribution to 14.5% cents and net tangible assets (NTA) went up by 5.1% to $4.70 per unit.

Charter Hall Long WALE REIT reaffirmed its guidance that operating EPS will be at least 29.1 cents per unit this year, equating to a FY21 distribution yield of at least 6%.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited and Telstra Limited. The Motley Fool Australia owns shares of APA Group, COLESGROUP DEF SET, and Woolworths Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post 2 ASX dividend shares rated as strong buys by brokers appeared first on The Motley Fool Australia.


移动APP平台,拥有 12 个市场的 50,000 多种全球上市证券(全球市值超过 70%),直接在您的 Android 或 iOS 设备上即可操作。

与独有的交易理念和投资分析工具相结合,帮助您在我们 12 个全球市场中的几乎所有金融工具上找到可操作的见解,从而帮助您优化交易策略。





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!