2 Under-the-Radar Stocks to Buy and Hold

Core Insights - Popular companies may not always represent the best investment opportunities, while lesser-known firms can be undervalued and present attractive prospects for long-term investors [1] Group 1: Axsome Therapeutics - Axsome Therapeutics' stock has more than doubled in value over the past five years, driven by clinical and commercial advancements, particularly with its leading candidate Auvelity, approved for treating depression [4] - In 2025, Axsome's revenue increased by 66% to $638.5 million, and its net loss per share improved to $3.68 from $5.99 in 2024 [5] - The company targets large, underserved markets, with potential sales for Auvelity in Alzheimer's disease agitation estimated between $1.5 billion to $3 billion, contributing to a projected peak sales exceeding $16 billion across its late-stage pipeline [6][7] Group 2: Madrigal Pharmaceuticals - Madrigal Pharmaceuticals received FDA approval for Rezdiffra in 2024, the first treatment for metabolic dysfunction-associated steatohepatitis (MASH), leading to strong commercial progress [8] - The company generated $958.4 million in revenue in the last year with Rezdiffra as its sole product, a significant increase from $180.1 million in 2024 [8]