NEW YORK (TheStreet) -- McDonald's (MCD) was falling 1.09% to $94.87 on Monday after the world's biggest restaurant chain by revenue reported a sharper-than-expected decline in U.S. same-restaurant sales.
Comparable sales in stores open at least 13 months fell 3.3% in the United States in January, a steeper drop than the 1.6% decline expected by analysts. The company noted the frigid weather that hit much of the U.S. last month contributed to the decline. Worldwide sales, though, rose 1.2%, beating analysts' estimates of a 0.7% increase.
In Europe, which barely tops the U.S. as McDonald's largest revenue market, sales rose 2%, which surpassed analysts' expectations of 1.3%. Sales rose 5.4% in the Asia Pacific, Middle East and Africa region, beating analysts' expectations of a 2% rise.
"Throughout the McDonald's system we are committed to elevating the customer experience and enhancing our customers' relationship with our brand," said President and CEO Don Thompson in a company statement. "We are intent on improving our performance by building on our customer-driven strategies and the fundamental strengths of our proven business model."
TheStreet Ratings team rates MCDONALD'S CORP as a "buy" with a ratings score of A. TheStreet Ratings Team has this to say about its recommendation:
"We rate MCDONALD'S CORP (MCD) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."