Warren Buffett has led an incredibly successful career as an investor. His knack for spotting value where others don't built a struggling textile mill in the 1960s into a company worth $1 trillion in 2025.
Through the first quarter, Buffett's Berkshire Hathaway held a stock portfolio worth $263 billion. It's full of solid companies that can help you grow your savings. Some of these positions are managed by one of Buffett's hired investing deputies (Todd Combs or Ted Weschler).
Coca-Cola(NYSE: KO), Domino's Pizza(NASDAQ: DPZ), and Amazon(NASDAQ: AMZN) are three stocks from Berkshire's holdings that would make great additions to any investor's portfolio right now. Here's why three Fool.com contributors like these stocks as long-term investments.
Image source: The Motley Fool.
Buffett's longest-held stock
Jennifer Saibil (Coca-Cola): Warren Buffett bought Coca-Cola stock 37 years ago, and he has said he would never sell it. Although other investors might question his affection for the beverage giant, which has underperformed the market for much of the recent past, today's market makes it clear why it's an excellent addition to a well-diversified portfolio.
Coca-Cola is the largest beverage company in the world, with nearly $47 billion in trailing-12-month sales. Despite global economic upheaval over the past few years, it has managed to generate higher sales and robust profitability. It's a much-loved global brand, and everyone needs to drink. Although there might be some switching down when prices go up, a can of Coke won't set you back too much. The company has been able to raise prices without curbing demand, and it has also launched smaller packaging to make it easier for fans to buy it.
Investors have also been impressed with management's reaction to tariffs. CEO James Quincey has explained that even though Coca-Cola is a global brand, much of its production is done locally. It makes most of its concentrate in the U.S., shielding it from at least some of the impact of tariffs.
Even more, Coca-Cola is a Dividend King, and it's raised its dividend for the past 63 years straight. That's longer than Buffett has been at the helm of Berkshire Hathaway, and it's as reliable as any dividend stock. Plus, the dividend yield is higher than many other Dividend Kings. Today, it's 2.7% because Coca-Cola stock is performing so well this year -- up 15% -- but it's typically closer to 3%.
If you're a young growth investor, you may not want to make Coca-Cola stock a central part of your portfolio, but it provides safety and passive income for any kind of portfolio.
Image source: Getty Images.
A recession-resistant restaurant chain
Jeremy Bowman (Domino's Pizza): The trade war and concerns about a recession have put pressure on a number of restaurant chains -- McDonald's, Chipotle, and Starbucks have all noted pressure on traffic from the economy.
Domino's might be the restaurant chain that's best positioned to fend off economic pressure, as it's a global franchisor, and it offers both compelling value and convenience for consumers during tough times. The company has a long track record of growing comparable sales in a wide variety of economic conditions, and it should be able to do the same even if the economy goes sour.
In its first quarter, Domino's reported same-store sales growth of 3.7% in international markets, though U.S. comps were down slightly at 0.5%. Global retail sales rose 4.7%.
Domino's also continues to expand, and, with its franchise model and the global popularity of pizza, the company appears to have a long runway of growth ahead of it. Domino's now has more than 21,000 locations around the world, including more than 14,000 in international markets and more than 7,000 domestically.
Overall, Domino's has many of the makings of a classic Buffett stock. It has a competitive advantage thanks to its global brand and network of more than 20,000 locations that are supplied by Domino's facilities. It also has a recession-resistant business model and product, and it's a durable business that can continue to produce cash flow for decades to come, returning to investors both through dividends and share repurchases.
Image source: Amazon.
Amazon's customer-centric business strategy is a long-term winner
John Ballard (Amazon): Amazon has made investors a lot of money over the last few decades by focusing on one simple thing: delighting its customers. Whether it's offering a smooth online shopping experience or offering mission-critical cloud services to large businesses, Amazon has focused on offering great service to customers of all stripes, and it's led to tremendous growth in revenues and profits.
Berkshire Hathaway first bought a stake in the online retail giant in 2019 and still held 10 million shares at the end of 2024.
Amazon's sales growth is slowing as it gets larger, but management is targeting greater efficiency and cost savings to improve margins, which is boosting earnings growth. The company's net profit grew 64% year over year in the first quarter to $17 billion. There are not many large companies growing profits at these high rates.
The company is still relentless in finding ways to satisfy customers. It's preparing to launch a satellite broadband service (Project Kuiper), and it just launched the first satellites into orbit. It aims to offer the service to millions of households in underserved rural areas.
Project Kuiper would be a key asset in getting more rural households to shop and engage with Amazon's Prime service offerings more frequently. Along with these efforts, Amazon is investing $4 billion through 2026 to expand its rural delivery network in less populated areas of the U.S.
Amazon clearly has a lot of room to grow, and there are still plenty of growth opportunities internationally. Meanwhile, its cloud enterprise service is growing as more businesses migrate their data systems to the cloud to take advantage of artificial intelligence (AI) services. Revenue from Amazon Web Services grew 17% year over year in Q1 and contributed over 60% of the company's operating profit.
The stock is down year to date, as Wall Street focuses on near-term headwinds in the economy, but investors can expect Amazon to keep growing in value over time and deliver excellent returns.
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John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. John Ballard has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Chipotle Mexican Grill, Domino's Pizza, and Starbucks. The Motley Fool recommends the following options: short June 2025 $55 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy.
