Buy Rio Tinto and these ASX dividend stocks

The good news for income investors is that there are lots of ASX dividend stocks to choose from on the local share market.

But which ones could be buys this month?

Let's take a look at three that analysts currently rate as buys. They are as follows:

Cedar Woods Properties Limited (ASX: CWP)

The first ASX dividend stock that analysts are tipping as a buy is Cedar Woods. It is one of Australia's leading property developers.

Analysts at Morgans are feeling very positive on the company and its outlook. In respect to the latter, they highlight that "looking forward, the signs are positive, with guidance for +10% NPAT growth in FY25, supported by favorable operating conditions in most key states."

Morgans expects this to underpin dividends per share of 27 cents in FY 2025 and then 33.3 cents in FY 2026. Based on its current share price of $5.40, this equates to 5% and 6.15% dividend yields, respectively.

The broker has an add rating and $6.70 price target on the company's shares.

Centuria Industrial REIT (ASX: CIP)

Another ASX dividend stock that could be a buy this month is Centuria Industrial.

It is Australia's largest domestic pure play industrial property investment company with a portfolio of high-quality, fit-for-purpose industrial assets worth a collective $3.8 billion.

Management notes that its portfolio is well positioned with a 90% weighing to Australia's high performing eastern seaboard industrial markets. This is underpinned by a strong tenant base with approximately 66% of portfolio income derived from tenants directly linked to the production, packaging and distribution of consumer staples, pharmaceuticals, and telecommunications

UBS is positive on the company's outlook. Its analysts are expecting it to be in a position to pay dividends per share of 16 cents in FY 2025 and then 17 cents in FY 2026. Based on the current Centuria Industrial share price of $2.87, this will mean dividend yields of 5.5% and 5.9%, respectively.

The broker currently has a buy rating and $3.80 price target on its shares.

Rio Tinto Ltd (ASX: RIO)

Over at Goldman Sachs, its analysts see this mining giant as an ASX dividend stock to buy this month.

Its analysts believe that Rio Tinto has an attractive relative valuation, free cash flow, and dividend yield. This is being underpinned partly by its exposure to copper and aluminium.

Goldman Sachs expects this to underpin fully franked dividends of US$3.44 (A$5.40) per share in FY 2024 and then US$3.76 (A$5.91) per share in FY 2025. Based on the current Rio Tinto share price of $124.15, this would mean yields of 4.35% and 4.75%, respectively.

The broker currently has a buy rating and $135.10 price target on the miner's shares.

The post Buy Rio Tinto and these ASX dividend stocks appeared first on The Motley Fool Australia.

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 Goldman Sachs Group. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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