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Alright, welcome back everyone. 
Today on the Joseph Carlson 

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show, we have some breaking news
to get into one of the larger 

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companies in my portfolio, which
is Starbucks. 

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They just reported earnings, a 
few minutes ago and the headline

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is positive Starbucks. 
Beat their earnings and revenue 

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estimates, despite lockdowns in 
China. 

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This is a big caveat here. 
I think Starbucks is having some

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serious issues in China. 
So we're going to check that 

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out. 
I'll dive into the earnings 

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report will go through it 
together. 

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We'll look at what happened with
Starbucks over the past three 

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months. 
It's, I also want to give an 

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update on the earning season. 
Overall, the headline from 

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Goldman Sachs is that it has 
been better than fared. 

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Earnings have not been quite as 
catastrophic as many people are 

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warning about. 
So, I want to go through and 

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give some data and highlight how
earning season has gone so far. 

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And I want to compare that with 
my portfolio. 

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I put together this little 
spreadsheet that highlights the 

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earnings results of my 
companies, specifically, all of 

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my companies whether or not they
beat their revenue. 

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Their earnings per share what 
they forecasted weather. 

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No forecast, a strong, 
forecaster week forecast, and 

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then I actually went through and
added them together by the 

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portfolio waiting and compared 
it against the S&P 500. 

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So you get to see how the 
earnings of my portfolio. 

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The passive income account 
Compares with the rest of the 

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market. 
So, we're back to earning season

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and we see this earning season 
continue as more and more 

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companies report their earnings.
There were three companies in my

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portfolio that so far have not 
reported earnings He's Starbucks

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Disney and Target and Starbucks 
just reported their earnings a 

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few minutes ago. 
Now, before we jump in to their 

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most recent quarter, I just want
to give a brief overview of my 

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investment thesis in Starbucks. 
The reason that I committed 

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30,000 dollars of capital to 
this company, Starbucks is a 

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company that has Brand value. 
They have customer loyalty, they

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have unique digital properties 
with an app that works as a 

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bank, they have high Returns on 
invested capital and they have a

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long history of growing, the 
revenue, growing their earnings 

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and paying a growing dividend. 
The company so far has done 

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really well until recently a 
year ago, things started to 

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trade down for Starbucks. 
It went from a hundred and 

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twenty six dollars a share all 
the way down to 71 dollars a 

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share as investors sold out of 
this company for varying 

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reasons, fears about unions 
inflation and a recession has 

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caused investors become cautious
about this company that's when I

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jumped in and started buying 
shares of this company. 

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So that's where we sit right 
now. 

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Now, if we jump to just the 
headlines hair, I think the 

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headline from CNBC paints a 
positive picture. 

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Starbucks beat earnings and 
revenue estimates despite 

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lockdowns in China. 
So even with lockdowns in China 

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and we'll look at how much that 
affected their China business 

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even despite that, they still 
beat their earnings and revenue 

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that shows how strong Starbucks 
is of a brand CNBC reports that 

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their earnings per share were 84
cents compared to 75 cents 

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expected. 
So they just Crush their EPS 

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estimate and then even the 
revenue was eight point one. 

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Five billion versus 8.1 billion.
They had their revenue 

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basically, in line a small beat 
their. 

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The important thing is they beat
their earnings per share. 

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That was a vital thing for 
Starbucks to prove, but there's 

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a lot more. 
We can dive into a lot more key 

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metrics on this earnings report.
Some investors might say, the 

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only thing that matters is the 
EPs and the revenue, that's not 

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true. 
There's a whole business 

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underneath that there's lots of 
key metrics. 

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You have to pay attention to. 
So let's go ahead and dive into 

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some other things going on with 
Starbucks. 

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I have their actual earnings 
report, right here. 

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Let's go ahead and go through 
some things. 

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First of all, they say, 
Consolidated, net, revenues up 

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9% to a quarterly record of 
eight point two billion. 

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So they actually have a record 
revenue for the company. 

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All time, they say comparable, 
sales rep, 3%, globally. 

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Up nine percent in the US. 
And up double digits 

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internationally. 
So they have strong comparable 

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sales in the US and 
internationally X China and 

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we'll dive into that. 
I assume the China data is 

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really bad. 
They've had a lot of shutdowns 

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there. 
They say the earnings per share 

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of Gap adjusted, 84 cents, 
driven by u.s. performance and 

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Global demand outside of China. 
They keep excluding China out of

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these numbers because I'm 
assuming again, that the China 

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numbers are not good. 
Here's a really important one 

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and I think it's good for 
Starbucks to include this right 

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at the top because this is a 
huge part of the thesis of 

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investing in Starbucks, their 
reward membership, this works as

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a sort of bank for Starbucks, 
you get members in their loyalty

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program. 
They upload points and real 

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money to it, Starbucks can use 
that money to open up new 

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stores. 
Without having to have all that 

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money actually committed to them
through cash flows. 

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So they say they have active 
Starbucks reward membership up 

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13% in the US and Q3 to twenty 
seven point four million 

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members. 
Now, here's where we get to the 

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important part where they talk 
about how the business is doing 

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broken down by geography. 
They say that comparable, 

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same-store sales, increase three
percent, but that's globally all

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across the board. 
If you break this down in North 

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America, the comparable same 
store, sales increased by 9%. 

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With an 8 percent increase in 
average ticket and a 1% increase

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in comparable transactions. 
So, North America is going very 

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strong for Starbucks. 
They're not only increasing the 

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amount that people buy per 
visit, but they also had a 

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slight increase in the amount of
visits. 

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So, both metrics are moving in 
the right direction. 

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More money per visit more 
visitors, but then we get to the

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troubling part here. 
International is not going as 

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well. 
The international comparable 

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same-store sales decreased by 18
percent driven by a fierce. 

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Eighteen percent decline in 
comparable transactions and a 

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four percent decline in average 
ticket the China comparable, 

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same store, sales, decreased by 
44% driven, by a forty three 

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percent Decline and comparable 
transactions, and a 1% decline 

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in average ticket. 
Now, I don't know exactly what's

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going on with the Chinese 
consumer. 

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I don't know if this is because 
of protests, if they decided, 

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they don't like American 
companies, they don't want to 

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support Starbucks. 
I I know if it's because they're

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just in lockdown and they don't 
have as much money, but either 

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way, the takeaway here, is the 
China business is not strong. 

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It's moving in the wrong 
direction at a very rapid Pace. 

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If this was down 7%, even 15%, 
that wouldn't be as alarming, 

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but same store transactions 
down, 43% for comparable, 

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transactions is a massive 
decline. 

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I'm not sure what that is 
attributed to. 

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I'm not sure what they're going 
to say. 

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I'll listen to the Things called
because I'm sure that's going to

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be asked about. 
But right now, this is a huge 

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red flag. 
Starbucks says, the future. 

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Growth of the business is in 
China, and they eventually want 

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the business in China to be 
bigger than the u.s., when it 

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can decline this much 
year-over-year that is a 

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concerning thing. 
So I'd like to get more 

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information on this massive 
decline in comparable 

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transactions from China. 
But as of right now, that's the 

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Highlight we have u.s. doing 
well. 

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We have international shrinking 
a little bit and China just 

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falling off of a cliff, overall.
The As consumers enough to prop 

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up the company because that's 
their biggest market. 

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Now, moving on, here's a couple 
other highlights. 

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The company opened up 318, net 
new stores. 

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And Q3 this is the news that I 
don't see highlighted that often

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we hear about all the companies,
every single one of them 

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unionizing. 
When it's really not that many 

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stores. 
The total amount of stores that 

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have unionized is 170. 
Just this most recent quarter, 

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they opened up 318, news stores.
So Starbucks is Being in new 

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store, count faster than stores 
are being unionized. 

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That's how quickly this company 
opens up new stores. 

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And the amazing thing is with 
this business model, they pay 

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for these new stores and around 
a year and a half. 

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The return on investment is 
incredibly quick. 

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They earn a high rate of return 
on every new store. 

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They say ending in this period 
with 30 4948 stores globally, 

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51% of the company operated and 
49% licensed. 

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So 34 1948 stores as of this 
last quarter, another highlight 

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is we got another piece of news,
we don't like to see, but this 

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is something expected with any 
food company. 

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That works with inflation 
Commodities. 

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The operating margins decreased 
by four hundred basis points. 

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Meaning, they went from 19.9%, 
the 15.9%, so the operating 

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margins are being decreased over
time. 

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Primarily driven by inflationary
pressures investments in labor, 

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including enhanced door partner,
As well as sales D leverage 

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related, to covid-19 
restrictions in China, partially

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offset by pricing in North 
America and leveraged across 

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markets outside of China. 
So between paying their 

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employees more and between food 
prices increasing. 

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That's where you get your margin
contraction. 

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The CFO of the company says that
we delivered a record-breaking 

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Revenue performance during the 
quarter from continued strength,

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and our customer demand globally
balance with our ability to 

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execute Investments, despite 
macroeconomic and operational, 

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headwinds our commitment. 
To deliver shareholder value has

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not wavered, and we are making 
the right decisions and 

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Investments for the future 
Starbucks. 

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So far, neither the CFO or the 
CEO has commented regarding the 

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huge drop-off in China, 
same-store sales. 

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So I'd like to see that 
commentary, but I think I'm 

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going to have to wait for the 
earnings call to see what they 

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have to say. 
Now, if we look at some of the 

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metrics here, we can look at how
individual parts of the company,

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either grew or shrunk and the US
most things look good 

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comparable. 
Same-store sales is up 9% 

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transaction. 
We're up, 1% change in ticket, 

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was up 8%, the store? 
Count went to 17,000 revenues 

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also. 
Increased operating income was a

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little bit higher, but the 
margins did go down a little bit

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from 24 percent to 22 percent 
overall, a good performance. 

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If this was only a US company 
and I think the u.s. is really 

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what's holding up Starbucks 
right now. 

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International had the same store
sales, go down, 18 percent, 

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change in transactions, go down 
fifteen percent, change in 

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ticket, go down 4 percent, The 
store count did increase. 

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00:10:01,900 --> 00:10:04,000
So we have a store count 
increase that's basically the 

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00:10:04,000 --> 00:10:08,100
only positive thing and then the
most concerning is the operating

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margins went from 19 percent. 
Last year, that 8.5%, the 

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operating margins in the 
international business, has been

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crushed, cut in half from 1/4 to
the next. 

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This looks incredibly ugly. 
If this is a standalone 

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business, this would be a 
horrible report. 

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The only thing so far. 
Keeping Starbucks moving in a 

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00:10:28,000 --> 00:10:30,600
positive direction is the West 
business. 

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00:10:30,700 --> 00:10:34,000
Now they also say that the 
company's guidance remains 

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suspended for the balance of 
this fiscal year. 

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00:10:37,100 --> 00:10:39,800
So Starbucks is sort of like 
apple where they don't give a 

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lot of direct guidance. 
They try to have analysts fill 

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in the blanks. 
Now, the other thing that we can

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look at, is the balance sheet of
the company, see what direction.

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This is heading, most of the 
metrics here. 

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Also look like they're heading 
in the wrong direction. 

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00:10:52,200 --> 00:10:54,600
So take a look at this, the cash
and cash equivalents. 

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00:10:54,700 --> 00:10:57,400
This is basically just how much 
money the company has on hand. 

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00:10:57,700 --> 00:11:01,300
It went from six point four 
billion, Last year to three 

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00:11:01,300 --> 00:11:04,700
point, one, seven seven billion.
So their cash was reduced by 

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00:11:04,700 --> 00:11:06,300
three billion dollars a year 
over year. 

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00:11:06,400 --> 00:11:09,400
Now, while their cash balance 
has declined substantially year 

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00:11:09,400 --> 00:11:11,000
over year by three billion 
dollars. 

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00:11:11,300 --> 00:11:14,500
There are long-term debt. 
Also, increased thirteen point 

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00:11:14,500 --> 00:11:19,100
six billion dollars to 13.9. 
So now they have thirteen point 

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00:11:19,100 --> 00:11:22,100
nine billion, dollars long-term 
debt and increase by around 

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00:11:22,100 --> 00:11:24,100
three hundred million dollars 
year over year. 

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00:11:24,100 --> 00:11:27,500
So they're long-term debts not 
growing at a rapid Pace, but 

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00:11:27,500 --> 00:11:29,700
it's concerning when their cash 
is going down. 

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00:11:29,800 --> 00:11:31,600
While their long-term debt is 
going up. 

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00:11:31,600 --> 00:11:33,800
So, just a few minutes after 
this earnings report Starbucks 

230
00:11:33,800 --> 00:11:37,200
is up, 1.6 percent. 
I think this makes sense 

231
00:11:37,200 --> 00:11:39,500
investors are trying to make 
sense of their international 

232
00:11:39,500 --> 00:11:41,500
business. 
And there's still some questions

233
00:11:41,500 --> 00:11:43,800
that are unanswered. 
If we look over the current 

234
00:11:43,800 --> 00:11:47,200
fundamentals with the update of 
this last quarter, this is what 

235
00:11:47,200 --> 00:11:49,000
it looks like. 
The eight point one, five 

236
00:11:49,000 --> 00:11:51,800
billion dollars is a record high
for Starbucks, their evil to 

237
00:11:51,808 --> 00:11:55,400
last quarter was 1.7 billion 
that still very strong, 

238
00:11:55,600 --> 00:11:58,600
especially considering the 
macroeconomics here, the free 

239
00:11:58,600 --> 00:12:01,500
cash flow was also very Very 
resilient, it was eight hundred 

240
00:12:01,500 --> 00:12:04,000
and forty-one million dollars. 
We look at this trend. 

241
00:12:04,000 --> 00:12:06,100
That's right in line with its 
recent history. 

242
00:12:06,100 --> 00:12:07,900
Now this is what the balance 
sheet looks like. 

243
00:12:08,100 --> 00:12:10,500
You can see that we're comparing
their cash levels to an 

244
00:12:10,500 --> 00:12:13,800
abnormally High quarter. 
Three point, two five billion 

245
00:12:14,000 --> 00:12:18,100
versus 6.6 billion. 
But this quarter is an outlier, 

246
00:12:18,100 --> 00:12:19,800
they had a lot more cash than 
usual. 

247
00:12:20,000 --> 00:12:22,800
Typically, they have somewhere 
around four billion, four point 

248
00:12:22,800 --> 00:12:25,400
nine billion. 
So they're really not going down

249
00:12:25,600 --> 00:12:27,800
to dramatically in their cash 
levels. 

250
00:12:28,000 --> 00:12:30,700
If you look at the greater 
timeline, Still have more cash 

251
00:12:30,700 --> 00:12:33,800
on hand than they did just two 
years ago and it's true that 

252
00:12:33,800 --> 00:12:35,900
their debt has gone up a little 
bit. 

253
00:12:36,200 --> 00:12:38,900
But again, if we look at this on
a grater timeline, it's really 

254
00:12:38,900 --> 00:12:41,300
not moving that much. 
So I'm not overly concerned 

255
00:12:41,300 --> 00:12:44,100
about the debt levels here. 
And keep in mind that qual, trim

256
00:12:44,100 --> 00:12:46,900
does count Capital leases as 
part of the debt. 

257
00:12:47,000 --> 00:12:50,700
So around half of this debt is 
their leases, their rent, every 

258
00:12:50,700 --> 00:12:53,700
single month, those are in the 
form of long-term contracts, 

259
00:12:53,900 --> 00:12:56,800
which this records as debt, but 
in most cases, that's really not

260
00:12:56,800 --> 00:12:59,000
considered bad debt. 
And then, if we look at the 

261
00:12:59,008 --> 00:13:01,300
shares outstanding, Ending. 
This is how it came out. 

262
00:13:01,300 --> 00:13:04,800
Last quarter was one point one 
four, nine billion versus one 

263
00:13:04,800 --> 00:13:08,100
point 147 billion. 
So the shares outstanding did go

264
00:13:08,100 --> 00:13:11,100
down ever so slightly. 
So as of right now, Starbucks 

265
00:13:11,100 --> 00:13:14,500
earnings was another beat Top 
Line and bottom line in my 

266
00:13:14,500 --> 00:13:17,300
portfolio. 
I don't think it was the worst 

267
00:13:17,300 --> 00:13:20,600
earnings report or the best, but
I plan on holding it in my 

268
00:13:20,600 --> 00:13:24,200
portfolio and I think that if 
the Chinese business, if the 

269
00:13:24,200 --> 00:13:27,700
Chinese consumer ever gets back 
on track, I really think this 

270
00:13:27,700 --> 00:13:31,300
company will take off right now.
That it's a press valuation. 

271
00:13:31,300 --> 00:13:33,700
Investors are concerned about 
their international business, 

272
00:13:34,100 --> 00:13:36,100
and Starbucks has to prove them 
wrong. 

273
00:13:36,200 --> 00:13:38,900
We have to see things moving in 
a positive direction 

274
00:13:39,200 --> 00:13:41,100
internationally now. 
Moving on from Starbucks, 

275
00:13:41,100 --> 00:13:44,300
specifically, I want to take a 
look at the broader earnings 

276
00:13:44,300 --> 00:13:49,000
results across the US market. 
Goldman Sachs says that so far, 

277
00:13:49,400 --> 00:13:51,200
this is going better than 
feared. 

278
00:13:51,400 --> 00:13:54,700
The big concern going into this 
earnings season, is that every 

279
00:13:54,700 --> 00:13:57,100
company was going to report, 
terrible, earnings and terrible,

280
00:13:57,100 --> 00:13:59,100
guidance. 
And the market would go down 

281
00:13:59,100 --> 00:14:02,800
another 30%, that was the big 
concern and that's not 

282
00:14:02,800 --> 00:14:05,900
happening, at least, so far. 
Now, here's the actual data of 

283
00:14:05,900 --> 00:14:10,300
the 56% of the S&P 500 companies
that have reported earnings so 

284
00:14:10,300 --> 00:14:13,500
far more than half of them have 
beat analyst estimates. 

285
00:14:14,000 --> 00:14:17,000
And this is a little bit better 
than what was expected. 

286
00:14:17,000 --> 00:14:20,300
We were expecting most companies
to not beat the analyst 

287
00:14:20,300 --> 00:14:22,400
estimates. 
Now, what I did in order to 

288
00:14:22,400 --> 00:14:26,300
compare my portfolio against the
S&P 500 is I listed out every 

289
00:14:26,300 --> 00:14:30,100
single holding in my portfolio, 
every single individual, P. 

290
00:14:30,600 --> 00:14:33,800
And then I also listed out my 
portfolio allocation and then I 

291
00:14:33,808 --> 00:14:37,200
tracked every single Holdings Q2
earnings whether or not they 

292
00:14:37,200 --> 00:14:41,000
reported and if they reported 
was their revenue, a beaut was 

293
00:14:41,000 --> 00:14:44,200
their earnings per share a beat 
and what they forecasted. 

294
00:14:44,300 --> 00:14:47,300
If they forecasted strong 
forecast, I highlighted it 

295
00:14:47,300 --> 00:14:50,600
green, it was neutral. 
I just put green and if it was a

296
00:14:50,600 --> 00:14:53,500
week forecast, I put red, and 
this is what the results look 

297
00:14:53,500 --> 00:14:56,500
like. 
I have 15 Holdings of those 13, 

298
00:14:56,500 --> 00:14:59,500
have reported earnings so far. 
We're still waiting on Disney 

299
00:14:59,500 --> 00:15:02,100
and Target the notable misses in
there. 

300
00:15:02,100 --> 00:15:06,100
CPS estimates and revenue is 
Microsoft is the biggest miss 

301
00:15:06,500 --> 00:15:08,600
this company. 
Shocked me when they missed both

302
00:15:08,600 --> 00:15:11,500
the top line and bottom line, 
because they never miss this 

303
00:15:11,500 --> 00:15:15,000
company rarely ever misses their
earnings and revenue. 

304
00:15:15,500 --> 00:15:18,900
But even as they miss, they gave
such strong guidance. 

305
00:15:18,900 --> 00:15:22,200
They forecasted double-digit 
operating income growth, which 

306
00:15:22,200 --> 00:15:24,100
is incredibly strong in this 
environment. 

307
00:15:24,300 --> 00:15:28,400
So, Microsoft technically missed
the revenue and EPS that was a 

308
00:15:28,400 --> 00:15:32,900
big miss. 
My Microsoft's roughly 11.9% of 

309
00:15:32,900 --> 00:15:35,400
my allocation and the passive 
income account, but the rest of 

310
00:15:35,408 --> 00:15:38,200
my companies, especially the top
ones, the most important ones 

311
00:15:38,600 --> 00:15:42,100
did, outperform Apple, beet 
revenue, and EPS bgb revenue and

312
00:15:42,100 --> 00:15:45,000
EPS, Costco Starbucks and Texas 
Roadhouse. 

313
00:15:45,000 --> 00:15:48,100
All were strong beats JPMorgan 
missed and I thought that they 

314
00:15:48,100 --> 00:15:51,300
gave week guidance, Domino's, 
miss the revenue beyond their 

315
00:15:51,300 --> 00:15:54,900
earnings and they gave what I 
consider to be weak guidance. 

316
00:15:54,900 --> 00:15:57,900
You could, you could argue with 
that, but I put it in the week 

317
00:15:57,900 --> 00:16:00,900
category Nikes. 
Strong across the board. 

318
00:16:00,900 --> 00:16:03,800
It outperformed analyzed by a 
large degree and they gave 

319
00:16:03,800 --> 00:16:06,900
surprisingly, strong guidance, 
Pepsi beat across the board, 

320
00:16:06,900 --> 00:16:09,100
giving very strong guidance to 
ore prices. 

321
00:16:09,100 --> 00:16:11,200
One that they've missed on 
everything and their guidance 

322
00:16:11,200 --> 00:16:14,300
looks pretty bleak Canadian 
Pacific beat on everything with 

323
00:16:14,300 --> 00:16:15,600
strong guidance and Church & 
Dwight. 

324
00:16:15,608 --> 00:16:19,300
Surprisingly, they be on their 
revenue, they missed on their 

325
00:16:19,300 --> 00:16:21,600
earnings and they lowered their 
forecast. 

326
00:16:21,600 --> 00:16:24,700
Their guidance was very weak, so
that's one of the smaller 

327
00:16:24,700 --> 00:16:28,200
Holdings, a brand new one to the
portfolio making up point four 

328
00:16:28,200 --> 00:16:30,400
percent now. 
And I look over all the Stata I 

329
00:16:30,408 --> 00:16:34,800
did some calculations to compare
the performance of my portfolio 

330
00:16:34,900 --> 00:16:38,900
and its earnings compared with a
broader Market 56% of the S&P 

331
00:16:38,900 --> 00:16:43,800
500 companies have reported 
earnings of those 62% have 

332
00:16:43,800 --> 00:16:47,000
beaten expectations and the 
passive income account. 

333
00:16:47,000 --> 00:16:51,800
I hold 15 companies so far. 13 
have reported earnings of those 

334
00:16:51,800 --> 00:16:55,100
eight have beat their earnings a
rate of 61 percent. 

335
00:16:55,400 --> 00:16:59,300
So I'm actually basically in 
line with the S&P 500 trailing 

336
00:16:59,300 --> 00:17:03,000
it by one percent when it comes 
to percentage of companies that 

337
00:17:03,000 --> 00:17:05,200
be earnings. 
But when I wait my portfolio 

338
00:17:05,500 --> 00:17:08,800
based on which company be 
earnings, keep in mind that the 

339
00:17:08,800 --> 00:17:11,599
ones that are much bigger 
waiting, like, apple Vici, 

340
00:17:11,599 --> 00:17:15,200
Costco Starbucks and Microsoft. 
They have a much bigger impact 

341
00:17:15,200 --> 00:17:18,800
on my portfolio because these 
are fifteen, twelve eleven, 

342
00:17:18,900 --> 00:17:22,000
eleven percent positions, while 
these bottom ones, here are 

343
00:17:22,000 --> 00:17:25,700
point four point, six point 
seven, some heavily top weighted

344
00:17:25,700 --> 00:17:28,200
towards these top companies. 
When I actually do this on a 

345
00:17:28,208 --> 00:17:32,100
weighted adjusted basis, that 
Passive income portfolio, has 71

346
00:17:32,100 --> 00:17:37,800
percent of the portfolio beating
earnings, so 71% not counting 

347
00:17:37,800 --> 00:17:40,300
Microsoft. 
So, is this the big bad earnings

348
00:17:40,300 --> 00:17:42,500
contraction? 
Everyone was talking about 

349
00:17:42,500 --> 00:17:45,200
earnings going down and 
companies selling off in the 

350
00:17:45,200 --> 00:17:48,600
market crashing so far. 
That hasn't happened. 

351
00:17:48,700 --> 00:17:50,500
This is what's going on with 
these companies. 

352
00:17:50,700 --> 00:17:53,500
Most of them have beat earnings 
and the ones that have beat, it 

353
00:17:53,600 --> 00:17:56,700
are even giving very strong 
forecast, So, based on their 

354
00:17:56,700 --> 00:17:59,600
earnings of the previous three 
months and their forecast. 

355
00:17:59,700 --> 00:18:02,100
Of the next three months. 
Most of them are forecasting. 

356
00:18:02,100 --> 00:18:04,600
Very strong results. 
Now I realize that earning 

357
00:18:04,600 --> 00:18:07,900
season isn't everything. 
It just shows you a snippet of 

358
00:18:07,900 --> 00:18:11,900
how a company's doing in a very 
specific time and period and 

359
00:18:11,900 --> 00:18:13,800
you're holding period for these 
companies. 

360
00:18:13,900 --> 00:18:15,300
Should be more than three 
months. 

361
00:18:15,500 --> 00:18:19,100
So I wouldn't read into anyone 
earnings report without trying 

362
00:18:19,100 --> 00:18:21,000
to look at the broader picture 
of your company's. 

363
00:18:21,200 --> 00:18:24,100
But overall, when I do an 
assessment of the report card 

364
00:18:24,100 --> 00:18:26,900
and how my companies are doing, 
I think they have very strong 

365
00:18:26,900 --> 00:18:28,900
performance, and I think they'll
continue with strong 

366
00:18:28,900 --> 00:18:30,700
performance. 
Into the future. 

367
00:18:30,800 --> 00:18:33,700
Now over the past month, I also 
do something where I track my 

368
00:18:33,700 --> 00:18:35,400
dividend income 
month-over-month. 

369
00:18:35,400 --> 00:18:37,800
Now, before we get to my 
dividend income for last month, 

370
00:18:37,800 --> 00:18:40,500
I have to do a quick shout out 
for today's sponsor of this 

371
00:18:40,500 --> 00:18:43,700
video which is FTX u.s. you can 
go to the website, there's a 

372
00:18:43,708 --> 00:18:47,900
link in the pin comment below 
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373
00:18:47,900 --> 00:18:51,200
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You can sign up, its 

375
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hassle-free. 
It takes two minutes to sign up,

376
00:18:55,400 --> 00:18:56,900
and you've seen me use this 
before. 

377
00:18:57,100 --> 00:18:59,500
I bought a little bit of Amazon.
I'm already in the green. 

378
00:18:59,700 --> 00:19:02,200
By $400 on this company. 
So it's really taken off 

379
00:19:02,200 --> 00:19:04,200
recently. 
You can buy and sell any time, 

380
00:19:04,200 --> 00:19:07,500
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So sign up now, using the link 

384
00:19:17,900 --> 00:19:20,200
in the description below and let
me know what you think when I 

385
00:19:20,200 --> 00:19:23,700
filter by dividends paid hair I 
didn't get a lot of dividends 

386
00:19:23,700 --> 00:19:27,900
last month in July. 
I was only paid to dividends one

387
00:19:27,900 --> 00:19:31,400
from Nike which they pay a very 
Low-yield and it's a very small 

388
00:19:31,400 --> 00:19:34,300
holding so it's just an eight 
dollar and fifty two cent 

389
00:19:34,300 --> 00:19:36,300
dividend. 
But then we also have the chi 

390
00:19:36,300 --> 00:19:39,000
which is a much bigger holding 
and a much higher yield. 

391
00:19:39,000 --> 00:19:43,300
This company paid me $445. 
So for the entire month of July 

392
00:19:43,300 --> 00:19:46,700
I just had these two dividends 
Nike and Vici. 

393
00:19:46,700 --> 00:19:49,200
I also track this on qual trim 
and I can go to the monthly 

394
00:19:49,200 --> 00:19:51,400
chart here. 
This is what it looks like month

395
00:19:51,400 --> 00:19:54,500
over month last month. 
It was $454. 

396
00:19:54,500 --> 00:19:57,600
Now this looks like a low month 
which it is but my portfolio is 

397
00:19:57,600 --> 00:20:00,000
going to be a little bit more 
sporadic with the dividend 

398
00:20:00,000 --> 00:20:01,700
payments. 
Some months, I'll have low 

399
00:20:01,700 --> 00:20:05,200
months with $400 and then some 
will have these huge spikes with

400
00:20:05,200 --> 00:20:07,800
886 dollars. 
What I'm looking at, is the 

401
00:20:07,800 --> 00:20:10,800
average overall and the average 
is going up. 

402
00:20:10,800 --> 00:20:12,800
Here's a dividend projection 
tool and call trim. 

403
00:20:12,800 --> 00:20:16,500
That shows me my projected 
income over the next 12 months. 

404
00:20:16,700 --> 00:20:18,900
You can see that 
month-over-month, some months, 

405
00:20:18,900 --> 00:20:21,900
simply pay more than others. 
Some companies are grouped up 

406
00:20:21,900 --> 00:20:24,400
and they pay more dividends on 
certain months than other ones. 

407
00:20:24,600 --> 00:20:27,800
So, I have some months where 
it's going to be $900, $600 and 

408
00:20:27,800 --> 00:20:34,400
$300, overall my month. 
Income is $614 Weekly's 141 on 

409
00:20:34,400 --> 00:20:36,200
average. 
And then one thing that I really

410
00:20:36,200 --> 00:20:38,900
like to calculate is my hourly 
wage. 

411
00:20:39,100 --> 00:20:43,700
This is based off of working 40 
hours per week. 52 weeks a year,

412
00:20:43,700 --> 00:20:46,700
no vacation. 
This is what this hourly wages. 

413
00:20:47,000 --> 00:20:50,400
If my dividend portfolio was an 
employee that worked 40 hours a 

414
00:20:50,400 --> 00:20:53,700
week. 52 weeks a year, no 
vacation, no PTO. 

415
00:20:54,200 --> 00:20:57,800
I would make three dollars and 
fifty four cents per hour so 

416
00:20:57,800 --> 00:21:01,500
this portfolio has that type of 
Of economic engine behind it, 

417
00:21:01,500 --> 00:21:03,800
that's not a lot, right? 
That's such a small amount. 

418
00:21:03,800 --> 00:21:06,100
But keep in mind, this is 
passive income. 

419
00:21:06,200 --> 00:21:08,200
So I have ambitious goals for 
this portfolio. 

420
00:21:08,200 --> 00:21:10,800
I do want to get it to the point
where it does generate a 

421
00:21:10,800 --> 00:21:12,700
substantial amount of passive 
income. 

422
00:21:12,900 --> 00:21:15,800
We can see the growth of the 
passive income, one year to the 

423
00:21:15,800 --> 00:21:22,500
next, from 2018, 2019 2020 and 
2021, we saw rapid growth, most 

424
00:21:22,500 --> 00:21:24,500
of this was generated by new 
deposits. 

425
00:21:24,500 --> 00:21:27,200
New money, being added to the 
portfolio and some of this was 

426
00:21:27,200 --> 00:21:29,000
generated by gains in the 
portfolio. 

427
00:21:29,700 --> 00:21:33,000
Weekly cash flow and dividends 
being reinvested back into other

428
00:21:33,000 --> 00:21:36,500
dividend-paying stocks. 
Last year, my growth rate was 77

429
00:21:36,500 --> 00:21:41,700
percent in dividend income. 
This year from 2021 to 2022. 

430
00:21:41,700 --> 00:21:43,800
Is not going to be that quick 
right now. 

431
00:21:43,800 --> 00:21:48,100
It's minus 26 percent so we will
beat last year. 

432
00:21:48,200 --> 00:21:52,300
It is on track to surpass last 
year by the end of the year, but

433
00:21:52,300 --> 00:21:56,000
it's not going to be 77 percent 
because I took away some of the 

434
00:21:56,000 --> 00:21:59,500
higher yielding Holdings like, 
BST and move that money into a 

435
00:21:59,600 --> 00:22:02,500
Seh di. 
So I am fighting against some 

436
00:22:02,500 --> 00:22:06,100
tough comparable so to speak. 
But I do plan on continuing to 

437
00:22:06,100 --> 00:22:09,300
grow this, I would like to grow 
the amount of dividend income, I

438
00:22:09,300 --> 00:22:12,800
make 20 or 30 percent 
year-over-year, you do that long

439
00:22:12,800 --> 00:22:15,300
enough, these numbers in total 
dividend payments will become 

440
00:22:15,300 --> 00:22:17,000
substantial. 
So there's a look at Starbucks, 

441
00:22:17,000 --> 00:22:20,100
its earnings and my portfolios 
earnings overall, I hope you 

442
00:22:20,100 --> 00:22:21,900
enjoyed the episode. 
Make sure you subscribe to the 

443
00:22:21,908 --> 00:22:25,000
channel if you're not already 
and I'll see you in the next 

444
00:22:25,000 --> 00:22:25,300
one.