Some of my favorite books to read to Natalie are Sandra Boynton books. We only have two, but my mom also has a couple, so we've read several.
My favorite, though, is Moo, Baa, La La La! I'm pretty sure I could recite the whole thing right now, we've read it so much. It's a cute book.
We also have The Going to Bed Book which we read a lot before Natalie goes to bed (imagine that). I also have this one memorized. The stories are short enough to keep Natalie's attention, and the pictures are simple and colorful enough for her to enjoy looking at. Sandra Boynton is quickly becoming one of my favorite children's authors.