When markets turn volatile, investors often look to Warren Buffett’s Berkshire Hathaway portfolio for stability and long-term growth potential. With 44 stocks valued at $262.7 billion – representing 23% of Berkshire’s massive $1.13 trillion market cap – the Oracle of Omaha’s investment selections offer a treasure trove of ideas for investors seeking quality businesses that can withstand economic turbulence.
What makes Buffett’s approach particularly relevant in today’s uncertain environment is his focus on companies with durable competitive advantages, predictable cash flows, and management teams that allocate capital wisely. These fundamental principles have helped Berkshire’s portfolio weather numerous economic cycles while delivering market-beating returns over the long run.
Here are three Berkshire Hathaway financial stocks worth considering for a buy-and-hold forever strategy.
Visa (V)
Berkshire first invested in Visa in 2011 and hasn’t sold any shares since 2021. The world’s largest card payments processor stands out for its capital-light business model—Visa doesn’t issue cards or take on credit risk, it simply collects “swipe fees” across its global network.
Over the past decade, Visa’s earnings per share grew at an impressive 16% annually despite pandemic disruptions and inflationary pressures. Analysts project continued earnings growth at 14% through 2027.
Visa’s network effects create an exceptionally wide economic moat that strengthens over time. As more merchants and consumers join its ecosystem, the network becomes increasingly valuable to all participants. This virtuous cycle has helped Visa maintain its dominant position despite regulatory scrutiny and merchant fee disputes.
While trading at 30 times forward earnings with a modest 0.7% dividend yield, Visa’s combination of growth, profitability, and competitive positioning embodies Buffett’s philosophy of owning wonderful businesses at fair prices. The company has also repurchased over 20% of its shares in the past decade, significantly enhancing shareholder returns.
Moody’s (MCO)
Moody’s represents one of Berkshire’s longest-held positions, entering the portfolio after its 2000 spinoff from Dun & Bradstreet. Buffett’s conviction is clear—Berkshire’s 13.7% stake is worth $10.6 billion, and it hasn’t sold shares since 2013.
Operating in a global duopoly with S&P Global, Moody’s credit ratings are essential for bond issuers accessing capital markets. This creates remarkably steady revenue through all economic cycles. When interest rate hikes slowed debt issuance in 2022-2023, Moody’s analytics business provided stability.
The company delivered 9% annual earnings growth from 2014-2024 despite interest rate headwinds. As rates normalize, analysts expect acceleration to 13% growth through 2027.
Particularly appealing is Moody’s insulation from tariff impacts. As an information provider with global operations, its business remains largely unaffected by trade policy shifts—exactly the predictability that fits Buffett’s investment approach.
With a 338% total return over the past decade and disciplined capital allocation (10% share reduction and a conservative 30% payout ratio), Moody’s exemplifies the compounding machine Buffett favors for long-term wealth creation.
Ally Financial (ALLY)
Berkshire began purchasing Ally in early 2022 and now holds a 9.4% stake worth $922 million. This recent addition offers an attractive value proposition: a 10x forward earnings multiple combined with a substantial 3.8% dividend yield.
Ally has transformed retail banking with its digital-first approach. From 2014 to 2024, its retail deposits tripled from $48 billion to $143.4 billion as consumers embraced higher-yield online banking over traditional alternatives. Meanwhile, its auto lending business has gained market share while maintaining disciplined underwriting.
Ally’s recent strategic moves demonstrate management’s focus on maximizing shareholder value while managing risk. The company sold its credit card portfolio and exited mortgage origination to streamline operations and reduce credit exposure—prudent capital allocation decisions that align with Buffett’s philosophy.
Analysts project impressive earnings growth at a 51% annual rate through 2027. Combined with aggressive share repurchases (36% reduction over the past decade), Ally offers compelling total return potential from current levels.
Bottom Line
Visa, Moody’s, and Ally Financial exemplify Buffett’s approach of buying great businesses with durable competitive advantages. While each may experience short-term volatility, their strong fundamentals and disciplined management teams position them well for long-term outperformance regardless of economic conditions.
These Berkshire holdings offer varying growth profiles, valuation characteristics, and dividend yields—creating a balanced exposure to financial services companies built to compound wealth through market cycles and deliver the sleeping-well-at-night factor that defines Buffett’s most successful investments.
