Kroger Co., Dr Pepper Snapple Group Inc. and other U.S. food stocks gained on Monday after Brexit fears helped make the companies look like a safer haven.
Kroger jumped 4.2 percent to $36.62 in New York trading, while Dr Pepper rose 4 percent to $95.85. Tyson Foods Inc., Whole Foods Market Inc. and Campbell Soup Co. also climbed.
The U.K.’s vote to leave the European Union last week -- known as Brexit -- roiled stocks globally Friday and again on Monday. With less European exposure, companies like Dr Pepper are seen as more attractive, according to Ali Dibadj, an analyst at Sanford C. Bernstein & Co. Some non-food U.S. stocks such as Reynolds American Inc. and Clorox Co. also are benefiting.
“Dr Pepper Snapple, Clorox and many other companies with limited European exposure can thank Brexit for their 52-week high stock prices and nose-bleed valuations,” he said.