Key Points
Amazon's long-term prospects are good enough to keep it on the list of no-brainer Buffett stocks to buy.
American Express could be a key beneficiary of potential interest rate cuts.
Berkshire Hathaway is a great stock to own over the long run and should hold up well if the market falls.
Warren Buffett bought 12 stocks in the second quarter of 2025. That's more buying than the legendary investor has done in quite a while. Sure, Buffett was a net seller of stocks for the 11th consecutive quarter. However, an increase in his buying activity seems to be a positive sign.
Keep in mind that Buffett's purchases were made more than two months ago, at the latest. Which of the stocks in his Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) portfolio are the best picks to buy today? Here are three no-brainer Buffett stocks to buy right now, in my opinion.
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1. Amazon
I could probably put Amazon (NASDAQ: AMZN) on the list of no-brainer Buffett stocks to buy pretty much all the time. I think the company's long-term prospects are simply that good.
Amazon is best known for its e-commerce business. Even though it dominates the e-commerce market, there's still plenty of room for growth. As CEO Andy Jassy explained last year, Amazon only claims around a 1% share of the global retail market. Jassy added that most retail sales are still made in brick-and-mortar stores, but he predicts that e-commerce will make significant inroads over the next 10 to 20 years. I agree with that assessment and expect that Amazon will be the biggest beneficiary of the trend.
E-commerce isn't Amazon's biggest opportunity, though. That honor goes to the company's Amazon Web Services (AWS) unit. Some might be skeptical about the artificial intelligence (AI) boom, but I'm not. I believe we're still only in the early innings of AI's transformation of business (and the world, in general). I fully expect that AWS, currently the market leader among cloud service providers, will continue to deliver strong growth as AI adoption surges.
Finally, I think that Amazon will continue to do what it has been doing since the 1990s: finding new markets to conquer. Satellite internet service could be next up, with Amazon planning to begin commercializing its Project Kuiper satellites' capabilities this year.
2. American Express
Buffett has owned a stake in American Express (NYSE: AXP) for longer than nearly any other stock in Berkshire's portfolio. I view the financial services giant as a great pick right now for several reasons.
American Express should benefit if the Federal Reserve reduces interest rates next week. Granted, quite a few stocks that Buffett owns will also likely enjoy solid catalysts if this happens, especially if the rate cut is bigger than expected. However, credit card companies should be clear winners from lower interest rates.
What if the Fed doesn't cut rates? AmEx's focus on affluent customers should prevent its share price from sinking too much, since spending for wealthier customers tends to be more resilient than lower-income consumers.
American Express' valuation is also surprisingly attractive. Its forward price-to-earnings ratio is only 18.6, which is downright refreshing considering how many stocks trade at premium multiples.
3. Berkshire Hathaway
Buffett hasn't authorized any stock buybacks for Berkshire Hathaway in recent quarters. Does that mean that other investors should stay away? I don't think so.
You might have noticed that Berkshire's stock performed exceptionally well earlier this year when the overall stock market wasn't rising. I suspect that many investors view the conglomerate as a safe haven. They also know that Buffett has amassed a massive cash stockpile that could be put to use during a market downturn. If the stock market does pull back significantly (something that I think could easily happen over the next six months), Berkshire could again become a favorite for many risk-averse investors.
Even if there are no market hiccups, though, Berkshire Hathaway remains an excellent stock to own over the long term. It offers diversification that's almost as good as some exchange-traded funds (ETFs), with its subsidiaries and equity holdings representing a broad array of sectors and industries.
What about concerns that Buffett is stepping down as CEO at year-end and passing the baton to Greg Abel? My answer is to listen to what the "Oracle of Omaha" said about that himself. In Berkshire's shareholder meeting in May, he stated, "I think the prospects of Berkshire will be better under Greg's management than mine."
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American Express is an advertising partner of Motley Fool Money. Keith Speights has positions in Amazon and Berkshire Hathaway. The Motley Fool has positions in and recommends Amazon and Berkshire Hathaway. The Motley Fool has a disclosure policy.