The S&P 500 is down nearly 17% this year as a pessimistic economic backdrop continues to spook investors. However, this doesn't change the fact that there are companies with solid fundamentals and fantastic growth potential capable of producing long-term value for shareholders.

Two such exceptional businesses belonging to fast-growing industries are proving they can not only survive but thrive in a challenging market. Let's take a look.

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Bristol Myers Squibb

One of the world's top biotech businesses, Bristol Myers Squibb (BMY -0.72%), is in the spotlight right now for defying the bear market. Its stock is up 12% year to date, outperforming the S&P 500 by nearly 29 percentage points. It benefited greatly from its 2019 acquisition of biotech giant Celgene, which specializes in cancer medications and treatments for autoimmune illnesses. As a result, Bristol's portfolio now includes quality drugs like cancer therapies Revlimid, Pomalyst/Imnovid, Abraxane, and Reblozyl, and bone marrow disease therapy Inrebic.

Its own impressive set of drugs is also driving revenue. Total revenue in the second quarter increased 6% to $23 billion from the prior-year period. Meanwhile, adjusted earnings per share (EPS) jumped 18% to $1.90 per share, thanks to its anticoagulant drug Eliquis, which saw an impressive 17% jump in sales to $6.4 billion. Revlimid, which treats multiple myeloma, also had the second-highest revenue contribution of $5.2 billion. Another popular drug, Orencia, which treats moderate to severe rheumatoid arthritis, increased sales by 8% from the year-ago period to $1.6 billion.

In the next few years, most of the company's most potent drugs, such as Eliquis, Opdivo, Pomalyst, Revlimid, and Yervoy, will see their patents expire, which worries investors. Furthermore, management reduced its 2022 outlook, predicting EPS in the range of $2.71 to $3.01, down from the previous estimate of $2.92 to $3.22.

Nonetheless, the company is expanding faster than ever, with yearly sales jumping by 123% in the last five years. Its solid pipeline of new quality drugs should keep sales strong, in the future, even in a volatile market. Management believes its new drug portfolio can bring in more than $25 billion in revenue on a "non-risk-adjusted basis in 2029."  It is also a dividend stock, offering a yield of 3.1%, significantly higher than the S&P 500's average of 1.6%. 

Oncology is the fastest-growing market, with a compound annual growth rate of 8%, and could be worth $536 billion by 2029, according to Precedence Research. This makes biotech stocks a strong target for long-term investors.

Cresco Labs

Rising cannabis company Cresco Labs (CRLBF 1.36%) is my second top stock. Although Cresco's shares have lagged behind the market, the company's fundamentals remain robust. In general, markets have punished cannabis stocks owing to a lack of action toward federal marijuana legalization in the United States. However, Cresco's growth strategies have paid off.

Cresco now operates just 51 stores nationally in the U.S. But it has earned $822 million in fiscal 2021. Comparatively, peer Trulieve Cannabis, which operates 165 stores nationwide, has reported $938 million over the same period.

It was wise of Cresco to acquire peer cannabis company Columbia Care, now that valuations are low. The deal should seal by the fourth quarter of this year, adding 130 dispensaries to Cresco's portfolio. Cresco will be a more robust and larger corporation, capable of expanding into regions where marijuana has not been legalized. Acquiring smaller companies now will level the road for Cresco upon U.S. federal legalization (if and when it happens).

Cresco's approach of targeting limited licensing markets has also contributed to the company's loyal client base. Because cannabis is prohibited in the U.S. on a federal level, state officials are cautious when allocating licenses. 

Total sales increased 4% to $218 million in the most recent quarter, which ended June 30. It has also been continuously profitable from an operational standpoint. Adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) jumped 11% year over year to $51 million in Q2. Cresco had $90 million in cash at the end of the quarter, which should support its expansion goals for this year. 

Even now, when inflation worries grip the markets, cannabis firms' revenue is growing every quarter. There are still market risks, but these are just temporary and will pass. The industry is still in its infancy. It is predicted to grow at a compound annual growth rate (CAGR) of 14% by 2030, to be worth around $70 million. Buying this fast-growing stock now at a bargain price will be worth it for investors in the long run.