Warren Buffett buying shares of undervalued quality companies and holding on for the long term has led Berkshire Hathaway to decades of market-beating performance. I'm talking about a compounded annual gain of more than 19% over 58 years compared to a compounded increase of a little more than 10% for the S 500 Index.

That's why investors look closely at Buffett's holdings from quarter to quarter and often try to follow his moves. And that's a smart idea -- even if you have a small amount to put into the stock market, you still can benefit from investing like Buffett. This doesn't mean you have to copy his every decision or that your portfolio should mimic Buffett's. Instead, you might choose a few key holdings or ideas that correspond to your own investing style. For instance, an interest in dividends may lead you to Buffett favorite Coca-Cola (NYSE: KO).

And speaking of the beverage powerhouse, it's one of two no-brainer Buffett stocks to buy right now so that you may potentially score a Buffett-like win down the road. Let's check out these magnificent long-term stocks.

Continue reading

Source Fool.com