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The Oracle of Omaha is set to retire as CEO of Berkshire Hathaway at the end of this year.
Although Warren Buffett's investing career is in its twilight, he's continued to buy stakes in several rock-solid businesses this year.
Buffett's favorite stocks for the new year have well-defined competitive advantages and (often) robust capital-return programs.
We've officially entered the twilight of Warren Buffett's investing career. In a little over three weeks, when the curtain closes on 2025, Berkshire Hathaway's (NYSE: BRK.A)(NYSE: BRK.B) billionaire leader will step down from the CEO role and hand the reins over to predetermined successor Greg Abel.
Undoubtedly, investors will be sad to see the 95-year-old Buffett go. In his stead, Berkshire Hathaway's Class A shares (BRK.A) have skyrocketed by almost 6,118,000%, as of the closing bell on Dec. 3. For the sake of comparison, the benchmark S&P 500 has gained less than 46,000%, including dividends, over the same time frame. Outperforming Wall Street's major stock indexes while sticking to his value-focused, long-term investment philosophies has been a winning formula for the Oracle of Omaha.
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But just because Berkshire's billionaire boss has one foot out the door, it doesn't mean he's not positioning the trillion-dollar company he helped build with his late right-hand man, Charlie Munger, for future success.

Berkshire Hathaway CEO Warren Buffett. Image source: The Motley Fool.
According to Form 13F filings with the Securities and Exchange Commission, Berkshire Hathaway's soon-to-be-retiring CEO has bet big on the following five unstoppable stocks for 2026.
Arguably, no investment overseen by the Oracle of Omaha has stood out more this year than the 17,846,142 shares of Google parent Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG) that were purchased during the September-ended quarter. Berkshire bought the Class A voting shares (GOOGL).
Although Buffett has long admired Alphabet's competitive advantages, he'd never taken the plunge (until now).
Google is a virtual monopoly, with the company accounting for between 89% and 93% of global internet search share over the last decade, based on data from GlobalStats. Alphabet is also the parent of streaming service YouTube, which is the second most-visited social website on the planet. This ideal positioning affords the company exceptional ad-pricing power and allows it to take advantage of lengthy economic expansions.
Beyond advertising, Alphabet is a major player in the cloud infrastructure service arena. Google Cloud is the world's No. 3 cloud infrastructure service platform by total spend, with sales increasing by more than 30% on a year-over-year basis. The incorporation of artificial intelligence (AI) solutions into Google Cloud is accelerating its growth rate.
A second unstoppable stock Berkshire's outgoing boss can't stop buying is satellite-radio operator Sirius XM Holdings (NASDAQ: SIRI). Though "only" 7,338,544 shares have been purchased in 2025, Buffett has been steadily adding to this position for years. Berkshire Hathaway holds more than 37% of Sirius XM's outstanding shares.
What makes this company special is that it's one of America's few legal monopolies. While it faces plenty of competition from terrestrial and online radio providers for listeners, it's the only company that possesses satellite radio licenses. This puts Sirius XM in an advantageous position when pricing its subscriptions.
Another aspect of Sirius XM Holdings' operating model that the Oracle of Omaha likely appreciates is its revenue mix. Whereas most terrestrial and online radio providers are almost exclusively reliant on advertising to keep the lights on, Sirius XM brought in only 20% of its net sales from ads during the first nine months of this year. A whopping 76% of its net sales come from subscriptions, which are far less likely to be cancelled than marketing budgets are to be reduced during economic downturns.
Sirius XM stock also offers an attractive value proposition. The company's dividend yield has topped 5%, its board has a steady share buyback program in place, and its forward price-to-earnings (P/E) ratio of less than 7 is historically cheap.

Image source: Getty Images.
Few stocks demonstrate Warren Buffett's conviction in a business quite like fast-food restaurant chain Domino's Pizza (NASDAQ: DPZ). Buffett has green-lit the purchase of Domino's stock for five consecutive quarters, resulting in 599,945 additional shares being acquired since the beginning of 2025.
Buffett's attraction to Domino's as an investment likely stems from its ability to garner the trust of its customers. In the late 2000s, the company acknowledged that its products had been subpar and undertook a mea culpa advertising campaign designed to rebuild trust in its brand. More than 15 years later, this transparency has been a catalyst for the company's steady growth.
The success of Domino's Pizza is also a reflection of consistently meeting or surpassing its five-year growth initiatives. The latest plan, dubbed "Hungry for MORE," incorporates AI and other tech tools to improve the company's supply chain and bolster production. Further, this strategy leverages the value of its franchisees and members to enhance the brand and foster customer loyalty.
To keep with the theme, Domino's has a hearty capital-return program. In addition to a steady stream of share buybacks, it's increased its base annual dividend for 13 consecutive years.
Berkshire's soon-to-be-retiring CEO is also betting big on health insurance and healthcare services goliath UnitedHealth Group (NYSE: UNH) for 2026. The Oracle of Omaha oversaw the purchase of 5,039,564 shares of UnitedHealth Group stock during the second quarter.
The primary catalyst for this buying activity was likely the price dislocation that occurred in April and May. UnitedHealth's management team warned of higher-than-anticipated costs associated with its Medicare Advantage segment, which led the company to pull and, eventually, reduce its full-year profit guidance by a sizable amount.
Although it's been a less-than-stellar year for UnitedHealth Group, there are silver linings. Namely, its health insurance operations are often highly predictable and profitable. Since higher expenses are inevitable for insurers, they usually have little trouble increasing premiums on their members or exiting unprofitable markets. UnitedHealth is already taking steps to mitigate cost issues in its Medicare Advantage segment moving forward.
Its healthcare services subsidiary, Optum, can be another long-term bright spot for UnitedHealth Group. This generally higher-margin segment provides hospitals and healthcare facilities with a range of services, from pharmacy care services to the software they use.
The fifth and final stock Warren Buffett has bet big on for 2026 is pool supplies and related equipment distributor Pool Corp. (NASDAQ: POOL). Berkshire's billionaire chief was a buyer for four consecutive quarters (July 1, 2024 – June 30, 2025) and added 2,860,196 shares through the first six months of the current year.
One of the primary draws of Pool Corp stock is likely its strong cyclical ties. The Oracle of Omaha is well aware that economic expansions last considerably longer than recessions, and has angled Berkshire Hathaway's $315 billion investment portfolio to take advantage of this disparity. During periods of prolonged economic growth, homeowners are more likely to install pools and spas.
But dig a bit deeper, and you'll discover that a substantial portion of Pool's revenue stream is recurring. Once a homeowner or business installs a pool or spa, accessories and repairs are necessary to keep it in good working order. This leads to cash flow stability in most economic climates.
Pool Corp has also made a splash with its capital-return program. Through the first nine months of 2025, 85% of its $358 million in allocated capital has come in the form of dividends and share buybacks. In other words, management is incentivizing the long-term investing ethos that's served Warren Buffett well in his six decades as Berkshire Hathaway's CEO.
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Sean Williams has positions in Alphabet and Sirius XM. The Motley Fool has positions in and recommends Alphabet, Berkshire Hathaway, and Domino's Pizza. The Motley Fool recommends UnitedHealth Group. The Motley Fool has a disclosure policy.
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