hi I'm Jimmy in this video we're looking at some dividend stocks that could be a
great opportunity right now as the stock market is crashing these stocks are from
the Dow Jones Industrial Average now about a year ago I did a video series
where we analyzed all 30 companies in the Dow Jones Industrial Average sure
some of that analysis is a bit on a date at this point but I thought it couldn't
make sense to go back and update some of the research from those 30 companies
since these are 30 of the largest companies in the country and many of
them could do quite well coming out of this stock market crash so I tried to
find three dividend stocks from the Dow that looked like they may be appealing
during this particular stock market crash okay so let's jump right in so the
first company is visa ticker symbol V now this is a chart of visas earnings
per share going back to 2013 and the green bars
over here well these are analyst estimates and these estimates were from
not too long ago but these are before all of the current chaos in the economy
so it's very possible that earnings per share actually shakes out to be more
like that or perhaps things get even a bit worse and they look like that but
our question is will profits get back on track at some point within the next few
years and I think that the answer is yes Visa and MasterCard for that matter
well there's staples in the economy and they're likely to recover one spending
begins again on a global basis now I don't want to imply that things can't
get bad for Visa during this stock market pullback I really think that in
the short term they can get hurt since a lot of visas business is transactional
based and the issue with this is that since a lot of their costs are fixed
well they can their profits can drop very quickly as transactions go down so
revenue drops profits drop but the flipside is true as well
once transactions pick up well a lot of that will go straight to the profit line
and once that happens well it's possible that the stock recovers it could take a
bit of time but in I think that visa has a very solid
business and could do very well over the long run now the good news is that visa
has done a good job of consistently increasing their dividends since 2008
and this is one of the good parts about this company and all three companies on
this dividend list is that I think that their dividends should be sustainable
during this economic downturn generally speaking companies don't like
to cut their dividend unless they really really have to and I expect for visa to
keep their dividend at least at the current level okay next up we have
Johnson & Johnson ticker symbol JNJ now just like Visa we can see that Johnson &
Johnson's earnings per share have been expected to climb of course now this is
in question and it's likely to decline at least in 2020 and this helps explain
the drop in the stock price over the past few weeks but one interesting
aspect of Johnson & Johnson that I dug up is that much of their business
shouldn't be too affected by the virus their farmer business which accounted
for about 51 percent of their revenue in 2019 well that really shouldn't be too
affected by this and I would think that their consumer products and their
medical devices and diagnostics business should do okay in the long run
so if we would switch back to their star chart real quick to me much of this drop
in the stock price as the stock market has been crashing has been more I think
it's more related to the overall market and not necessarily related to the
fundamentals of this company themselves and then when we look at their dividend
history once again they have been impressively consistent for many years
and I think that overall this company has a decent amount of upside and they
have a few drug test trials that have been going on and some some signs for
potential optimism for investors in general okay so run along these same
lines I was looking for another company that had solid dividends and their
exposure to the virus was recoverable let's put it that way so next up we have
Verizon ticker symbol VZ when we look at Verizon's earnings per share but we can
see that some pullback in their numbers has already been accounted for with
these particular projections broadly speaking
Verizon isn't too vulnerable to the overall virus situation at this point
although many small businesses are vulnerable right now and that could hurt
Verizon's landline business plus perhaps they get hit with some of their
equipment sales but once again as things eventually recover I would expect for
Verizon's business to strengthen once again and this could make the recent dip
in their stock price thanks to the dip in the stock market I think it could
make it for a relatively appealing opportunity now out of the companies on
the Dow 30 list Verizon has dropped less than many of the other companies but
they have dropped nonetheless and perhaps this is the opportunity that
we've been looking for and when we switch over to their dividend per share
history or we can see that they've been quite consistent over the past few years
and although that they don't although they don't have a dividend yield as high
as a stock like AT&T they are paying a dividend yield of a bit under 5% so they
still look fairly good and like I mentioned before many companies don't
like to cut their dividends so I would be surprised if Verizon cut their
dividend any time soon so if we like dividend stocks than perhaps Verizon is
one for us to consider in this particular stock market crash now if
we're looking for let's say ETFs that could provide a high dividend yield well
I actually did a video where I looked at some of the higher paying dividend ETF
out there and these pay a monthly dividend there's a link right here
there's a link in the description below if you curious and I want to thank you
so much for sticking with me all the way it into the video I really appreciate it
thanks and I'll see in the next video