Best Warren Buffett Stock to Buy Right Now: Apple vs Coca-Cola

For decades, investors have turned to Warren Buffett for investing inspiration, and this is for one clear reason. He helped deliver years of market-beating returns at the helm of Berkshire Hathaway. Buffett no longer leads the investment decisions at the holding company since he turned the chief executive officer position over to Greg Abel at the start of 2026.

But Buffett remains chairman of Berkshire Hathaway and says he makes himself available to help out if needed. Meanwhile, Abel has emphasized his desire to maintain the same investing principles that have ruled at the company over time. So it's no surprise that Abel, in the first quarter of this year, maintained positions in two of Buffett's favorite stocks: Apple (NASDAQ: AAPL) and Coca-Cola (NYSE: KO).

Which of these Buffett stocks makes the best buy right now? Let's find out.

Image source: The Motley Fool.

The case for Apple

Buffett originally bought shares of Apple back in 2016, and since then, he's praised chief Tim Cook numerous times -- including during Berkshire Hathaway's latest annual meeting earlier this month -- for his work.

Though Buffett generally doesn't buy tech stocks, he sees Apple as a consumer-oriented company and one that's built a fantastic moat or competitive advantage. Customers love the iPhone and other Apple products so much that they are willing to wait for the next updates -- and even if they can get in on a rival product for a lower price, in most cases, they stick with Apple. Last year, seven of the top 10 smartphones sold globally, including the top-seller, were iPhones, according to Counterpoint Research.

All of this has helped Apple's earnings to advance, and now, as the company has this massive base of installed devices that it's built over time, it has a new growth driver: services revenue. Apple sells a variety of services to its users, and this creates recurrent revenue from devices sold. It's no surprise that services revenue has reached records quarter after quarter.

Today, this and Apple's ongoing rollout of AI features could supercharge growth.

The case for Coca-Cola

Buffett bought Coca-Cola shares over several years starting in the late 1980s, and this stock has been a staple in the Berkshire Hathaway portfolio ever since. The billionaire loves Coca-Cola for its moat, which we could consider its brand strength as well as its solid global distribution network. It would be very difficult for a competitor to unseat Coca-Cola due to those two elements.

Buffett also has praised Coca-Cola for its commitment to dividend growth. The company is a Dividend King, meaning it's raised its dividend annually for more than 50 years. This has worked out nicely for Buffett: Berkshire Hathaway's dividend from Coca-Cola grew from $75 million in 1994 to $704 million in 2022, the billionaire wrote in his 2022 letter to shareholders. Though most of us don't have the resources to buy as many shares as Berkshire Hathaway holds, we still can benefit from Coca-Cola's dividend payments over time -- without lifting a finger.

Coca-Cola isn't known for delivering the explosive growth of a tech company, but it's proven its ability to steadily increase revenue over time and keep the brand a part of the consumer's daily buying habits. All of this makes Coca-Cola an attractive stock to own.

Which stock makes the better buy?

The answer to this depends on your investment style. If you're a cautious investor seeking passive income, Coca-Cola is the perfect choice for you. The company's dividend track record and high free cash flow suggest it will continue to keep rewarding shareholders. And Coca-Cola's solid moat may keep earnings progressively climbing, too.

But if you're looking for more growth, Apple is the better buy for you right now. The company is entering a transition period as Cook hands the CEO position over to John Ternus in September. While any change creates uncertainty, it also could lead to new growth opportunities and strategies -- it's important to note that Ternus has spent most of his career at Apple, knows the company well, and has expertise in product development. All of this means that for a growth investor, now may be an exciting time to pick up shares of this Buffett favorite.

Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway. The Motley Fool has a disclosure policy.