Payout Ratios and Why Low Is Better Than High

Dividend Investing with Fexingo: Income Stocks, Yield, and Long-Term Cash Flow Portfolios · Jul 1, 2026 · 9m · transcript

Lucas and Luna unpack what a payout ratio actually tells dividend investors, using data from the first half of 2026. They contrast Johnson & Johnson's conservative 45 percent payout with Verizon's 98 percent ratio that left no room for error when the stock dropped. With live market data from July 1, 2026 — JNJ up 5.4 percent over five days while VZ fell 7.3 percent — they explain why a lower payout ratio correlates with less volatility and stronger dividend growth. They also look at the current 4.38 percent ten-year Treasury yield and how it changes the game for high-yield stocks…