Australia Markets closed

3 ASX dividend shares with generous yields

James Mickleboro
stack of coins spelling yield

If you’re looking for a source of income in this low interest rate environment, then the share market is a great place to start.

There are a large number of shares on the ASX that offer dividend yields that smash the interest rates on offer with other interest-bearing assets.

Three that I think would be great options for income investors are listed below:

Accent Group Ltd (ASX: AX1)

I think Accent Group could be a good option for income investors. Although trading conditions in the retail industry are tough, this hasn’t stopped this footwear-focused retail group from delivering solid profit and dividend growth. I’m confident there will be more of the same in FY 2020 thanks to the popularity of its Athlete’s Foot, HYPE DC, and Platypus stores with consumers. I estimate that its shares offer a forward fully franked 4.7% dividend yield.

Scentre Group  (ASX: SCG)

Another dividend share to consider buying is Scentre. It is the property company behind the Westfield shopping centres in the ANZ market. These centres have hundreds of millions of customer visits each year, which hasn’t gone unnoticed with retailers. Its tenancies are demand with the nation’s biggest retailers, leading to a sky high occupancy rate. Thanks to this, I believe Scentre is in a position to grow its distribution at a modest rate in the coming years. At present its units offer a trailing 5.9% distribution yield.

Westpac Banking Corp  (ASX: WBC)

If you’re looking for exposure to the banks, then it could be worth considering an investment in Westpac. Although trading conditions remain tough in the sector, I believe the recent improvement in the housing market will lead to mortgage loan growth in the coming years. This should support its earnings and dividends in the coming years. Another positive is its generous yield. Even after factoring in a dividend cut in FY 2020, I estimate that its shares offer a forward fully franked 6.3% dividend yield.

The post 3 ASX dividend shares with generous yields appeared first on Motley Fool Australia.

Top 3 Dividend Shares To Buy For 2020

When Edward Vesely -- The Motley Fool Australia's resident dividend expert -- has a stock tip, it can pay to listen. With huge winners like Dicker Data (up 126%) and Collins Food (up 79%) under his belt, Edward is building an enviable following amongst investors that are planning for retirement.

In a brand new report, Edward has just revealed what he believes are the 3 best dividend stocks for income-hungry investors to buy now. All 3 stocks are paying growing fully franked dividends giving you the opportunity to combine capital appreciation with attractive dividend yields.

Best of all, Edward’s “Top 3 Dividend Shares To Buy For 2020” report is totally free to all Motley Fool readers.

Click here now to access this free report.

More reading

The Motley Fool's purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool's free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson. 2020