 What's going on everybody is Stas here welcome back to another video. So in today's video guys as you can see I'm on a little bit of a hike Walking on some back roads here in Greece This is actually the village where my grandparents grew up. They're from here in the 50s They grew up here immigrated to the United States, and I'm out of breath And it's great coming back here after four years of just not being here Honestly, I haven't been here in a long time But anyway guys I had to take a little seat because this is an uphill and it's hard vlogging while going up The breathing is ridiculous, but anyway in this video I just wanted to talk to you guys about you know what the market's been up to lately What are my thoughts in regards to this market and what I've been doing you guys saw my community post a couple of days ago I think that was yesterday or the day before that I've been buying one particular Stock and I want to share this stock with you guys in this video But in a couple of minutes but before we do get into that the markets have been absolutely Bloody these past couple of trading days well today and yesterday They've been recovering but before that the markets have been getting killed the Dow Jones had one of the worst days In its history the Nasdaq had a day where it was down 4.5% in one day that's ridiculous right the S&P has just been getting killed and during these time periods guys during this past week I've been getting a lot of questions on Instagram a lot of questions on the discord group chat DM and people in general And the whole entire community they've been panicking right they've been saying oh my goodness Should I sell my stocks should I you know completely liquidate my account there's just been a lot of stuff going on that I kind of just want to talk about but before we do get into that what's been going on in the markets Well, we got more tariffs slapped from Trump onto 300 billion dollars worth of Chinese goods Right, that's what really set the markets down We had the 25 basis point rate cut which if you guys have been following the channel You've been following with financial news you knew that this was going to happen right and this scenario that played out is called buy the rumor Sell the news if you guys were paying attention the whole time that we were expecting the rate cut We weren't a hundred percent sure that the rate cut was going to come but we kind of knew right Powell was hinting towards it Trump really wanted it right and the markets were buying up the rumor right we were buying up The rumor the S&P had an all-time high and then once that rate cut actually happened the markets Dumped right the markets dumped that day and then the next day Trump slapped those tariffs which sent the markets into Mayhem right and then the Chinese currency manipulation happened and the markets really were reacting negatively To that and now again like I said these past two days the markets have been slowly Recovering but people have still been panicking guys. Should I liquidate my account? Should I sell all my assets? Should I not buy stocks now? Well in my opinion guys every time not maybe not every time right? But whenever the market corrects, it's worth looking into stocks It's worth looking to buy into dips doesn't mean you always have to but it's worth looking into potentially buying into the Opportunity that was opened up from the massive drop right and me personally again I've been buying one stock that it kind of dipped before the whole market drop And I personally see this stock as a very good wealth builder over time And why not I'm gonna give you guys a stock right now that stock is Johnson and Johnson guys Johnson and Johnson. I really like it right. I really like the dividend yield right now It's at about a three percent three point one percent dividend yield the payout ratio is a forty to forty five percent right now And for those of you guys who don't know what a payout ratio is It's pretty much the percentage of a company's earnings that are being paid out in dividends So to put it in a very brief and simple example, let's say a company reports $1 of earnings and they pay out a fifty cent Dividend that quarter well that payout ratio is going to be 50% right and Johnson and Johnson again has around a forty to forty five percent Last time I checked which is very very healthy, right? And my reasoning behind adding more and loading up on this position is because of the security of the company the Security it provides through recessionary periods. And am I saying the recession is going to happen tomorrow the next day? Of course not right. Nobody knows but it's never bad to prepare and to put your money in places where you feel more Comfortable than in some of these growth stocks or at least in my opinion I feel more comfortable putting money in Johnson and Johnson at this point in the cycle than in some of these growth stocks and getting Back to that payout ratio. So let's say Johnson and Johnson a lot of the companies out there including Johnson and Johnson They're going to suffer a bit during the recession right and let's say their earnings drop The payout ratio provides a lot of safety because it's really low So let's say the earnings were to shrink right for that example We just use a dollar earnings fifty cent You know dividends as that's a fifty percent payout ratio. Let's say the earnings shrunk to eighty cents, right? There's no way Johnson and Johnson will cut the div end because there's still that buffer you guys understand what I'm saying, right? So if they had an eighty percent, you know Earnings fifty percent dividend is still or fifty cent dividend is still going to be very very doable for the company right on the flip side Let's say you're investing in a company that maybe has a ninety five percent payout ratio and then their recession comes They get killed in terms of their earnings Well, they might be cutting their dividend because they may come to a point where their dividend is going to be higher Than their earnings right and that puts companies in a very very shaky Situations so now that I kind of shared, you know what I've been buying Johnson and Johnson, right? This is a time period where especially if the markets continue to drop don't panic Don't just sell out of your positions realize that this is where the real wealth is built, right? This is where the money is made not buying at the top not buying at the top If you want to maximize your returns in the stock market, you know, you have to buy when stocks are red, right? Be greedy when others are fearful. I know you guys know that quote, right? So when the markets are dropping look at companies and be be like, okay These are opportunities to buy great companies on sale and if you're looking at dividend companies Let's say you want to live off of your dividends one day. Well when the markets are going down Guess what's happening to dividend companies? Let's say a dividend stock goes from a hundred thirty dollars to a hundred and ten dollars That dividend will go from let's say a three percent to a four percent for example, right? So if you're buying shares at a hundred and ten dollars a hundred dollars, whatever it may be at a lower price Your yield is going to be higher. Your starting yield is going to be higher your cash flow is going to be more and you could take this cash flow and Really just buy more stocks compound your wealth and just really it's just snowball, right? You get the dividends you buy more shares, right? And over time in 10 20 years when all this blows over right when the recession happens When everything blows over the market goes in a bull run again, you're going to be thanking yourself guys Trust me. You're going to be thanking yourself that you bought when others were fearful, right when the markets back in December I know you guys remember it's December 2018 when the markets dips 20 25 percent Everybody was panicking. I was buying stocks I was buying a crap ton of stocks and guess what happened over the next coming months 810 months or not 810 months like six Seven eight months. I came out on top their returns were in the 20 30 40 percent for some of the stocks that I was buying So guys, you know, that's kind of the basis of this video, right? Don't panic view this as an opportunity to load up on great companies You know if the markets drop again, although the markets have been recovering Let's say they start to dump again next week. Don't panic, right? If you're truly in this for the five ten fifteen twenty, let's say you never want to sell You know, this is the perfect time to buy not one stocks are at all-time highs But when stocks are dipping so that's it for today's video guys. I hope you enjoyed this different type Video I might relay some, you know clips of this whole beautiful area that I'm in right now Across this video. So if you did enjoy those hit that like button consider subscribing and yeah guys That's pretty much it. I'll catch you all in the next video. I'll be back in the States in about a week So I'll be back to the regular content. I can't wait for that. I love you guys. Peace out