Warren Buffett, the legendary investor and CEO of Berkshire Hathaway, remains optimistic about the future of American companies. At Berkshire Hathaway’s recent annual shareholder meeting, Buffett expressed his gratitude for being born in the U.S. and emphasized the country’s resilience and ability to evolve. Buffett’s approach has led Berkshire Hathaway to market-beating returns over nearly six decades.
Despite recent concerns about the potential impacts of tariffs on prices and the broader economy, Buffett continues to invest in U.S. stocks. Some top American companies worth investing in right now include Coca-Cola, Palantir Technologies, Vertex Pharmaceuticals, Chewy, and American Express. Coca-Cola, a long-time holding in Buffett’s portfolio, boasts a strong brand, a global presence, and a commitment to dividend growth.
Palantir Technologies, a Denver-based software company, helps clients utilize their data more effectively through AI-driven platforms. Vertex Pharmaceuticals leads the global market in cystic fibrosis treatments and has recently launched two new drugs expected to become billion-dollar franchises. Chewy, an e-commerce company specializing in pet products, has minimal exposure to Chinese tariffs and represents a safe and growth-oriented investment.
American Express, another long-term holding in Buffett’s portfolio, has a strong customer base and is less sensitive to economic fluctuations.
Buffett’s investment strategies explained
Portfolio concentration is a big reason for Buffett’s success as an investor.
Currently, roughly 58% of Berkshire Hathaway’s $287 billion portfolio is invested in just four stocks: Apple, American Express, Coca-Cola, and Bank of America. Apple remains Berkshire Hathaway’s largest holding, with Buffett appreciating the company’s customer loyalty and massive share repurchase program. American Express generates substantial fees from merchants and interest income from cardholders, making it a resilient investment during economic downturns.
Coca-Cola’s geographic diversity and strong brand appeal contribute to its predictable cash flow. Bank of America has benefited from rising interest rates and capitalizes on multi-year economic growth spurts. Two top Buffett stocks to buy and hold for the long haul are American Express and Domino’s Pizza.
American Express operates its own payment network, giving it a profit advantage over other credit card issuers. Domino’s Pizza has a strong potential for international expansion and consistently repurchases its own stock. Buffett’s investments often share common themes, such as strong brands, consistent growth, and shareholder-friendly policies.
By following his enduring belief in the resilience and potential of American companies, investors may find rewarding opportunities in these top stocks.