Danone shares managed to climb into the top ranks of the CAC 40 index on Monday, with Morgan Stanley analysts naming the food group's stock as one of their top picks in the European consumer goods sector and their favorite in the food market.

In a sector study, Morgan Stanley believes that Danone is well positioned for 2026 and thinks that its organic sales growth, which is higher than that of the sector, as well as its well-known growth levers, should enable the stock to continue to outperform its peers on the stock market.

With around 90% of its product portfolio considered "healthy," Danone remains, according to the American bank, the benchmark stock for capitalizing on the underlying trend toward healthy eating, particularly in the areas of digestive health, protein-rich products, and new GLP-1-type anti-obesity treatments.

The New York-based firm points out that consumers are increasingly seeking to improve their eating habits, a trend reinforced by innovation from agri-food groups, as illustrated by Danone's launch of the Oikos range of protein drinks.

At 4:45 p.m., Danone shares were up 1.9%, the third-strongest rise in a CAC index that was itself up 0.7%.