This year is coming to a close, but there's still time left to buy stocks in top quality businesses, and watch them grow. The Dow Jones Industrial Average (DJINDICES: ^DJI) is an index of 30 top U.S. stocks that are important parts of the American economy, and it's a great starting point for finding long-term winners.

American Express (AXP -0.62%), Visa (V -0.23%), and Nike (NKE 0.19%) are three of my top choices.

1. American Express: The fee-based model

American Express has developed a distinct and profitable credit card model and has expanded into a range of complementary financial services. It's best-known for its credit cards, most of which come with an annual fee that goes straight to the company's bottom line. Customers are willing to pay that fee for the perks that come with card membership, and American Express has broadened its target market and capture a younger, more affluent cohort that should drive growth for decades.

In the 2023 third quarter, sales increased 13% year over year, and earnings per share (EPS) were up 30%, inclusive of a 58% increase in provisions for losses that come out of net income. That's because it has signed up more cardmembers, and these cardmembers are still returning to the services and experiences that were put on hold earlier in the pandemic.

This is American Express' sweet spot. It has an upscale clientele that typically spends on travel and leisure, and sales from this category increased 13% over last year, in the third quarter, even though total spending increased 7%. Restaurants were a strong growth driver, and customers are using American Express' restaurant reservation system, Resy, to increase numbers.

American Express is up only 13% so far this year. Investors are being careful with banks that increase their provisions for losses and will likely experience higher defaults because of inflation. But as the market continues to rally, it could gain more before the end of the year. With strong long-term growth catalysts, it's a great stock to buy for the future.

2. Visa: The largest payment processing network in the world

Visa is also a credit card network, but it operates a slightly different model than American Express. It works with banks rather than issuing its own credit cards, which removes some of its exposure to fluctuating interest rates, unlike American Express, which acts as its own bank. Visa is the largest payment processing network in the world, with more than $14.5 trillion in annual volume. It makes money any time someone swipes their card, leading to robust sales under most conditions. Even now, people continue to spend on essentials, and Visa's revenue growth has come in at 11% or 12% over the past four quarters.

Since Visa operates an asset-light model, increasing revenue doesn't require proportionally increasing expenses, and it posts incredible profit margins. It's not only better than asset-heavy companies, it's also industry-leading, at 54%. That means it turns more than half of sales into profits, which is unmatched.

Far from relying on its status to maintain its lead, Visa is constantly inking new deals with partners all over the world. It also keeps releasing new programs and innovating with technology, and its newer services, such as Visa Direct payments and data analytics, are its highest growth drivers.

Visa stock has outperformed the market for years, and it should continue the same way for the foreseeable future.

3. Nike: An unmatched lead in activewear

You've probably got the picture by now that Dow stocks are leaders in their industries. American Express and Visa are both payments giants, and Nike is in another industry altogether.

What began as a footwear company has now morphed into the leading U.S. apparel company. Athleisure has replaced other kinds of clothing as the uniform of the public, and Nike's lead is so vast that it would be very difficult for competitors to even come close. Smaller companies might be growing faster, but Nike continues to increase sales and pad its lead.

As a premium retailer, it's facing the challenges of inflation as customers switch to cheaper brands or buy on sale. Revenue increased 2% year over year in the 2024 fiscal first quarter (ended Aug. 31), and gross margin narrowed from 44.3% to 44.2%.

But in all probability, these are short-term trends. That's because Nike has been pivoting to focus on its direct-to-consumer channels for several years now. This maximizes its relationship-building, branding, and loyalty. Wholesale revenue was flat year over year in the first quarter, but Nike Direct sales increased 6%.

Part of that effort is investing in its digital channels, which reinforce the Nike experience and remain a strong growth driver. Management said that customers who engaged with Nike on TikTok increased 172% in the first quarter. This is a predominantly younger audience that Nike is building relationships with now to lead to a lifetime of loyalty and sales generation. Maintaining this focus positions it to bounce back when people have more spending money, and to stay robust in the long term.

Nike will release fiscal second-quarter earnings on Dec. 23, and Nike stock could still soar before the year is out.