Coles Group Ltd (ASX: COL)The first ASX dividend share to...

Coles Group Ltd (ASX: COL)

The first ASX dividend share to consider is this supermarket, convenience store, and liquor retailing giant.

As was widely expected, Coles recently released a strong full year result for FY 2021. For the 12 months ended 30 June, it reported a 3.1% increase in revenue to $38,562 million and a 7.5% lift in net profit after tax to $1,005 million.

This strong form allowed Coles to increase its full year dividend by 6% to a fully franked 61 cents per share.

The team at Macquarie were pleased with its performance. In response, the broker put an outperform rating and $19.80 price target on its shares. Macquarie is also forecasting modest dividend growth in the near term.

It has pencilled in dividends of 62.2 cents per share in FY 2022 and 64.8 cents per share in FY 2023. Which, based on the current Coles share price of $17.86, implies fully franked yields of 3.5% and 3.6%, respectively.