Toast (NYSE:TOST) Raised to "Buy" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Toast from “Hold” to “Buy. Analyst sentiment overall is “Moderate Buy,” with 16 Buy and 12 Hold ratings and an average price target of $38.46.
• Toast’s latest quarter showed revenue up 21.3% year over year to $1.98 billion, slightly above forecasts, but EPS of $0.29 missed the $0.37 consensus estimate.
• Shares opened at $34.66, and recent company news included a Toast technology partnership with Great Harvest across more than 150 bakery-cafés.

Toast (NYSE:TOST - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued on Saturday, Wall Street Zen reports.

Several other equities research analysts have also issued reports on the stock. Citigroup lifted their target price on shares of Toast from $36.00 to $39.00 and gave the company a "buy" rating in a research report on Wednesday, August 5th. BNP Paribas Exane cut shares of Toast from an "outperform" rating to a "neutral" rating and cut their price target for the stock from $38.00 to $35.00 in a research note on Wednesday, September 2nd. Canaccord Genuity Group set a $40.00 price target on shares of Toast in a report on Wednesday, August 5th. Royal Bank Of Canada increased their price target on shares of Toast from $36.00 to $44.00 and gave the stock a "sector perform" rating in a report on Monday, August 31st. Finally, Barclays raised their price objective on shares of Toast from $35.00 to $39.00 and gave the company an "overweight" rating in a research report on Wednesday, August 5th. Sixteen analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $38.46.

Toast Stock Up 3.4%

Shares of TOST opened at $34.66 on Friday. The business's 50-day moving average price is $31.87 and its 200-day moving average price is $29.43. The stock has a market cap of $17.99 billion, a PE ratio of 36.04 and a beta of 1.74. Toast has a twelve month low of $22.26 and a twelve month high of $37.58.

Toast (NYSE:TOST - Get Free Report) last posted its earnings results on Tuesday, November 3rd. The company reported $0.29 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.37 by ($0.08). Toast had a return on equity of 26.39% and a net margin of 7.69%. The firm had revenue of $1.98 billion during the quarter, compared to analysts' expectations of $1.97 billion. During the same quarter in the prior year, the company earned $0.16 earnings per share. The business's revenue for the quarter was up 21.3% compared to the same quarter last year. Analysts expect that Toast will post 1.08 earnings per share for the current fiscal year.

Insider Activity

In related news, CEO Aman Narang sold 14,713 shares of the firm's stock in a transaction dated Friday, October 2nd. The stock was sold at an average price of $29.35, for a total transaction of $431,826.55. Following the transaction, the chief executive officer directly owned 86,543 shares of the company's stock, valued at approximately $2,540,037.05. This trade represents a 14.53% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Susan Chapman-Hughes sold 6,885 shares of the business's stock in a transaction that occurred on Wednesday, November 11th. The stock was sold at an average price of $34.13, for a total value of $234,985.05. Following the completion of the sale, the director owned 7,645 shares of the company's stock, valued at $260,923.85. The trade was a 47.38% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders sold 202,818 shares of company stock worth $6,843,170. 10.03% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Toast

Hedge funds have recently made changes to their positions in the business. Armstrong Advisory Group Inc. purchased a new stake in shares of Toast in the 3rd quarter valued at $26,000. Ancora Advisors LLC bought a new stake in Toast in the second quarter worth $31,000. Mirae Asset Global Investments Co. Ltd. purchased a new stake in Toast during the third quarter valued at about $32,000. Harbor Investment Advisory LLC boosted its position in Toast by 213.6% during the second quarter. Harbor Investment Advisory LLC now owns 1,568 shares of the company's stock valued at $44,000 after buying an additional 1,068 shares during the period. Finally, Heritage Family Offices LLP purchased a new stake in Toast during the third quarter valued at about $75,000. 82.91% of the stock is currently owned by institutional investors.

Latest Toast News

Here's some of the latest news about TOST:

• Positive Sentiment: Great Harvest partnered with Toast to streamline operations across more than 150 bakery-cafés, deploying Toast’s point-of-sale, handheld and kitchen technologies. The deal adds a customer and could support Toast’s growth as the chain expands. Great Harvest partnership
• Positive Sentiment: Truist raised its price target to $40 from $38 and reiterated a Buy rating, signaling continued upside potential in the analyst’s view. Truist price target
• Negative Sentiment: Director Susan Chapman-Hughes sold 6,885 shares for about $235,000, reducing her direct holdings by 47.38%. Insider sales can raise concern, although the filing did not give a reason for the transaction. SEC filing

Toast Company Profile

Toast, Inc. provides a cloud-based technology platform designed for restaurants. Its products combine point-of-sale software and hardware with payment processing, helping restaurants manage in-person transactions and day-to-day operations. The platform includes tools for online ordering, delivery, marketing, customer loyalty, payroll, and team management, alongside features for managing menus and restaurant operations. Restaurants can use Toast's products together or select services to fit their needs.

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