NEW YORK (TheStreet) -- Shares of McDonald's (MCD) were slightly lower in early morning trading on Tuesday, despite WestJet Airlines (WJAFF) announcing on Monday that the fast food chain would supply the coffee on its aircrafts. Fox Business' Cheryl Casone joined "Mornings with Maria" this morning to report on the story.
McDonald's beat out bids from both Tim Hortons (THI) and Starbucks (SBUX) Canada for the coveted spot, she noted. This is important considering Time Hortons is a Canadian business and WestJet is a Canadian airline.
This is a way for the company to expand and have access to thousands of potential customers on over 140 daily flights, Casone said.
The airline serves 30,000 cups of coffee a day, CEO Gregg Saretsky said in the announcement. "So clearly, good visibility for the McCafe brand."
McDonald's would need to expand "quite a lot" to get anywhere near the business it does on the ground, noted show guest and Wall Street Journal chief economic correspondent Jon Hilsenrath. "But I want to know if I'm going to get an egg McMuffin with that coffee."
Customers will enjoy having more choices when they fly, noted Fox Business' Maria Bartiromo. "That's a different thing. I mean we haven't really seen that a lot where you can get the coffee that you want."
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings team rates McDonald's as a Hold with a ratings score of C+. The primary factors that have impacted the team's rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks.
You can view the full analysis from the report here: MCDMCD data by YCharts