Prediction: These 2 Stocks Will Keep Winning No Matter What the Market Does

Even with recent geopolitical tensions and macroeconomic challenges, broader equities have performed fairly well this year. But how long will that last? Perhaps these headwinds will, eventually, lead to a bear market. We can't predict those things with certainty, but it helps to invest in companies that are likely to perform well over the long run, regardless of market fluctuations. Two stocks to consider along those lines are Axsome Therapeutics (NASDAQ: AXSM) and Moderna (NASDAQ: MRNA). Here is why.

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1. Axsome Therapeutics

Axsome Therapeutics, a biotech company, has performed well over the past five years, driven by strong clinical and regulatory progress. The company's lineup of approved medicines now includes Auvelity, which is indicated to treat depression and Alzheimer's disease (AD) agitation. The drugmaker also markets Sunosi, a medication for daytime sleepiness due to narcolepsy, and Symbravo, a migraine treatment. Axsome Therapeutics' portfolio is generating strong sales.

In the first quarter, the company's revenue grew by 57% year over year to $191.2 million. However, the company's operating loss widened to $63.4 million -- compared to $57 million in the year-ago period -- and its loss per share of $1.26 was also worse than the $1.22 reported in the prior-year quarter. That shouldn't worry investors too much: Axsome Therapeutics has a rich late-stage pipeline, with approvals on the horizon that will help boost sales and, eventually, allow it to turn profitable.

Of note, Axsome Therapeutics earned a label expansion for Auvelity in AD agitation just earlier this year, so we have yet to see the impact of that approval on its financial results. Symbravo has also been on the market for only a year and a half.

Further, Axsome Therapeutics recently announced that the U.S. Food and Drug Administration (FDA) had accepted its application for AXS-12 as a potential treatment for cataplexy in narcolepsy, and the health regulatory agency could approve the medicine by May 2027. Axsome Therapeutics is also running several late-stage clinical trials that will support brand-new approvals or label expansions. The drugmaker estimates that its portfolio could eventually generate over $18 billion in sales.

If that sounds optimistic, remember that several of the company's targets represent vast opportunities with significant unmet needs. AD agitation, for instance, affects millions of patients in the U.S., but has limited treatment options. Axsome Therapeutics may face clinical or regulatory setbacks, but the depth of its pipeline should allow it to bounce back, as it did after the FDA delayed the approval for Auvelity and Symbravo.

So, we should expect the company's revenue to grow consistently over the medium term, and the biotech should turn profitable as well. The stock may not have an uninterrupted upward path, but it seems likely to deliver excellent returns.

2. Moderna

Moderna has crushed the market this year thanks to regulatory progress with one of its leading pipeline candidates, mFLUSIVA, an influenza vaccine. A panel of experts convened by the FDA unanimously agreed that mFLUSIVA's benefits outweigh its risks, making an approval very likely. This would be the fifth approved product for Moderna, all of them since the pandemic days, even though it was originally founded in 2010.

Moderna's mFLUSIVA could be highly successful. It performed better than marketed flu vaccines in phase 3 studies and is seeking approval for older adults, who are at the highest risk of severe disease and hospitalization. Moderna's financial results haven't been strong lately, largely due to unimpressive sales from its coronavirus vaccine franchise.

In the second quarter, the company's revenue was $145 million, up 2% year over year, while its loss per share improved to $1.97, up from $2.13 in the year-ago period. mFLUSIVA will help accelerate top and bottom-line growth. Just as important, Moderna should make significant clinical progress over the next few years. By now, the company has proven the potential of its mRNA platform, and several of the candidates it is developing could be massive commercial successes.

One of the more promising is mRNA-4157, an investigational personalized cancer vaccine that is undergoing several mid and late-stage clinical trials. Moderna has plenty of other programs, including some fairly ambitious ones (such as a potential HIV vaccine). The biotech is finally bouncing back after a few years of terrible returns due to a significant slowdown in the COVID-19 market. Although it will still face challenges, it could be a wealth compounder over the medium term.

Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Axsome Therapeutics and Moderna. The Motley Fool has a disclosure policy.