NEW YORK (TheStreet) -- Panera Bread (PNRA) shares are down 3.4% to $165.15 on Wednesday after the restaurant chain released third quarter earnings results that missed Wall Street's expectations for the period.

Panera Bread reported earnings of $39.2 million for the period, or $1.38 per diluted share on an adjusted basis, falling below analysts $1.42 expectations by 4 cents per share.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Revenue for the period increased 8% over the previous year to $619.9 million, but fell slightly short of analysts expectations of $620.1 million.

The company also lowered its fourth quarter and full year guidance today, adjusting its expectations for fourth quarter earnings ranging from $1.77 to $1.87, down from its previous guidance of between $1.89 and $1.98.

For the year, the company lowered its earnings expectations to between $6.60 and $6.70 from $6.65 to $6.80.

TheStreet Ratings team rates PANERA BREAD CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:

TheStreet Recommends

"We rate PANERA BREAD CO (PNRA) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in stock price during the past year, reasonable valuation levels, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

Image placeholder title

PNRA

data by

YCharts

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.