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Wells Fargo downgrades rating on McDonald's

The Associated Press

Wells Fargo Securities analyst Jeff Farmer downgraded his rating of McDonald's Corp. Wednesday on concerns about slowing sales.

The analyst said in a research note that the fast-food operator's sales gains slowed during 2013 and it lost U.S. market share in three of the last four months. Farmer said losses suggest that increased competition from Wendy's and Burger King are creating challenges for McDonald's, which he expects to continue in 2014.

Farmer lowered his rating on the company's stock to "Market Perform" from "Outperform".

A representative for Oak Brook, Ill.-based McDonald's could not be reached immediately for comment.

McDonald's shares fell $1.14 to $95.24 by late afternoon, amid a broader market downtick.