Over long periods of time -- I'm talking five to 10 years at least -- often it's the highest-quality businesses that perform the best for shareholders. There are numerous examples of companies that can consistently grow revenue and profits that ultimately drive their stock higher.

With that in mind, investors should try to identify these types of elite companies. Luckily, you don't have to look too far. There are two well-known "Magnificent Seven" stocks that might operate the best business models ever.

Let's look at these companies and their current investment merits.

Internet platforms

The rise of the internet spawned many new businesses that helped change the economy. But there are two that really stand out.

I'm talking about Alphabet (GOOGL 10.22%) (GOOG 9.96%) and Meta Platforms (META 0.43%). Since their initial public offerings (IPOs), what were formerly known as Google and Facebook, respectively, have each crushed the broader Nasdaq Composite Index.

Why do they have superior business models? Both companies are internet platforms that benefit from powerful network effects in winner-take-all markets.

Meta owns various social media apps that combined have 4 billion monthly active users. The business doesn't create any content itself; it simply connects users and collects ad revenue. It's a platform for human connection.

Alphabet's key segment, Google Search, which generated 57% of total company revenue in 2023, had 163 billion visitors February. It also doesn't create content, but connects users with the information they seek while it collects ad revenue. This is a platform for the organization of information.

What's special about these companies is that because of network effects, they get better for all stakeholders over time. This makes it impossible for smaller rivals to effectively compete. Who wants to sign up for a social media app that barely has any users? And who wants to use a search engine that won't give you the answers you're looking for?

Given that everyone wants to be on the social media app that everyone else is on, there's a winner-take-all dynamic where the top service will attract the vast majority of users. The same situation applies with Google Search. People want to use the service that is the best at matching search queries with the right information across the internet. Given its monopoly-like global market share of 92%, Google Search dominates in this regard.

Because there is virtually unlimited "real estate" across the internet, since there will be more users who spend more time on the internet, these two businesses have a tailwind working in their favor to generate greater digital ad revenue over time.

Should you buy Alphabet and Meta?

In the last 12 months, shares of Alphabet and Meta soared 43% and 140%, respectively. Yet they still look like smart stocks to buy right now. Alphabet shares trade at a forward price-to-earnings ratio of 22.2, while Meta's sell for a multiple of 24.7. These are reasonable valuations.

According to Wall Street analyst estimates, over the next three years, both companies are expected to grow their earnings per share by the high teens at the least. Should these forecasts come to fruition, it will certainly lift their share prices.

Combined, Alphabet and Meta generated $112 billion of free cash flow in 2023. That gives them unrivaled capacity to invest aggressively behind artificial intelligence initiatives to make their various services even better for users and advertisers. Plus, this cash is used to consistently repurchase outstanding shares.

Investors don't need to overthink this. These two top businesses deserve your savings.