When Warren Buffett speaks, investors listen. And when Berkshire-Hathaway (BRK.A 0.94%) (BRK.B 0.97%) Once the company files its Form 13F – which goes through the holding company’s recent transactions – with the U.S. Securities and Exchange Commission (SEC), investors begin analyzing it.

The most recent 13F included two new positions and some smaller trades. But the bulk of the equity portfolio, which currently includes 41 stocks, remained the same. Buffett is a big believer in long-term investing and his preferred holding period is, as is well known, “forever.”

Amazon (AMZN 0.52%) And Coca-Cola (KO 0.66%) are two stocks that you should definitely buy now, and I will add a new position, Ulta Beauty (ULTA 1.17%)also to this list.

1. Amazon: the stock for artificial intelligence (AI)

Amazon is one of the few tech stocks Buffett owns. In fact, he only bought the stock in 2019, after the company had already created millionaires. Buffett doesn’t care about glitz and hype; he prefers stability and value. This approach has helped him beat the market over his decades at the helm of his holding company, even if he avoids fast-growing stocks.

Amazon has become the second-largest company in the U.S. by revenue and is reliable when it comes to cash and profitability. That’s why, despite being a technology stock that’s embracing new trends, Amazon still fits Buffett’s mold. It’s one of the few AI stocks you’ll find in Berkshire Hathaway’s portfolio.

Of course, Amazon is much more than just AI. The company has an unparalleled global e-commerce business that accounts for nearly 38% of all U.S. e-commerce. That’s a moat that will be impenetrable to any real challenger in the near future. But Amazon is taking no chances and is leveraging its position to increase customer loyalty even further through faster service and a wider range of products.

The company is also a global leader in cloud computing, extending Amazon Web Services (AWS) with a huge range of high-level AI services. It has a three-tier system to work with any type of customer, and CEO Andy Jassy pointed out that “in the last 18 months, AWS has made more than twice as many machine learning and generative AI capabilities generally available as all other major cloud providers combined.”

Amazon is in full growth mode and has numerous growth drivers that make the company an outstanding stock.

2. Coca-Cola: the classic Buffett stock

Coca-Cola is one of three stocks Buffett has said he would never sell. He loves the brand, the market leadership and the dividend, and it’s the stock he’s held the longest. When investors talk about Buffett’s preferred holding period being forever, what he was actually saying was, “When we own shares of outstanding companies with outstanding management, our preferred holding period is forever,” and he was talking about Coca-Cola.

Coca-Cola was actually under a lot of pressure before CEO James Quincey took over in 2017, and Buffett held on anyway. Having Quincey on board proved to be a godsend, as Coca-Cola was starting to get things back on track even before the pandemic and was in good hands to ride out the downturns. The company has now moved far beyond that and has shown resilience in the inflationary climate.

Coca-Cola’s growth opportunities may be more limited than those of a typical growth stock, but the company continues to bring new beverages and product types to market. The company has a solid balance sheet and cash and is able to acquire smaller companies that drive some of its higher growth. Coca-Cola then integrates these newer beverages into its unmatched global distribution system, resulting in greater presence, sales and efficiency. It’s an incredible model that combines the strength of its core brands with the growth potential of new brands.

The company has managed to weather the pressures of the current environment and is well positioned to maintain its top spot as the world’s leading beverage company. It is also as reliable as a dividend king can be when it comes to increasing passive income.

3. Ulta Beauty: Buffett’s surprise stock

I’m not sure many investors saw it coming when Berkshire Hathaway’s latest 13F filing included a new position in Ulta Beauty, but it’s a stock that fits Buffett’s mold well. The company has a distinctive approach to selling beauty products and has grown to an impressive nearly 1,400 stores, giving it a leading position over rivals trying to copy it. While it’s still opening new stores (it plans to open up to 65 this year), it’s its loyal customers that are driving growth and creating opportunities for more.

Ulta is definitely feeling the pressure of inflation right now, but its business model is intact. In the first quarter of fiscal 2024 (which ended May 4), the company reported a tiny 1.6% increase in comparable sales, but what really dragged the stock down were margins and the outlook. Operating margin fell from 16.8% to 14.7%, and management lowered its full-year guidance for revenue, comparable sales, operating margin, and earnings per share (EPS).

It’s easy to see why Buffett chose Ulta right now. It’s down 18% over the past year, and that includes the jump after news of Buffett’s purchase. At its current price, it trades at a price-to-earnings (P/E) ratio of 14, which seems undervalued compared to its opportunity. An industry leader at a cheap price is just what Buffett needs, and Ulta Beauty stock seems like a great buy for any individual investor.