The market is full of AI stocks that don't have nearly the price tag of Nvidia. Nvidia has been the best artificial intelligence (AI) stock to own for the past year and a half. But investors are starting to profit from their huge gains and realize that some of the lofty projections will be difficult to reach.

Generative AI is taking the world by storm. This groundbreaking technology is capable of creating new content, such as text, images, and even music, based on the patterns it learns from existing data.

I've believed for a long time that investing in Warren Buffett's favorite stock was similar to investing in an exchange-traded fund (ETF). Buffett's favorite stock, of course, is Berkshire Hathaway (NYSE: BRK.

Warren Buffett has steered the Berkshire Hathaway investment company to market-beating returns since 1965. Buffett's investing strategy doesn't involve chasing hot stock market trends like artificial intelligence (AI).

Warren Buffett, the legendary investor, has been selectively buying stocks despite Berkshire Hathaway’s record-high cash stockpile. In the second quarter, Buffett initiated new positions in Heico Corporation and Ulta Beauty.

Warren Buffett has some simple criteria for finding businesses to invest in. But identifying stocks that meet those conditions isn't so straightforward. The post 3 simple things Warren Buffett looks for in stocks to buy appeared first on The Motley Fool UK.