×
Pro Analysis

Buy McDonald's, as its new menu offerings are boosting sales, Credit Suisse says

McDonald's to test home delivery in Florida.
Paul Thomas | Bloomberg | Getty Images

Investors should buy McDonald's shares because sales are improving due to recent promotions and new food offerings, according to Credit Suisse, which reaffirmed its outperform rating on the fast-food chain.

McDonald's "franchisees indicated that investments in food quality and operations may now be translating into sustainable market share gains. This gives us increased confidence in the trajectory of MCD's US business," analyst Jason West wrote in a note to clients Thursday. "SSS [same-store sales] among our franchisee contacts have accelerated from 1Q17, with each month better than the last. Franchisees cited beverage value ($1 soft drink; $2 small McCafe) as a solid traffic driver (rolled out nationwide early April)."