Toast (NYSE:TOST) Price Target Raised to $35.00 at Keefe, Bruyette & Woods

Key Points

• Keefe, Bruyette & Woods raised Toast’s price target from $30 to $35 while maintaining a “market perform” rating, implying only 0.76% upside from the stock’s $34.74 closing price.
• Analyst sentiment remains broadly positive, with 18 Buy and nine Hold ratings producing a “Moderate Buy” consensus and an average price target of $38.27. Several firms also raised targets, including Wells Fargo to $40 and Canaccord Genuity to $40.
• Toast’s latest quarter showed 23.1% year-over-year revenue growth to $1.91 billion, exceeding estimates, although reported EPS of $0.26 missed the $0.32 consensus. The company’s growth outlook and margin expansion support the bullish view, while planned AI and expansion investments could pressure near-term profitability.

Toast (NYSE:TOST - Get Free Report) had its price objective hoisted by stock analysts at Keefe, Bruyette & Woods from $30.00 to $35.00 in a report issued on Wednesday,Benzinga reports. The brokerage currently has a "market perform" rating on the stock. Keefe, Bruyette & Woods' target price indicates a potential upside of 0.76% from the company's previous close.

TOST has been the subject of several other research reports. Robert W. Baird increased their price objective on shares of Toast from $30.00 to $33.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 8th. UBS Group reaffirmed a "buy" rating and set a $39.00 price target on shares of Toast in a research report on Wednesday. Wells Fargo & Company raised their price objective on Toast from $36.00 to $40.00 and gave the company an "overweight" rating in a research report on Wednesday. Canaccord Genuity Group set a $40.00 price objective on Toast in a research note on Wednesday. Finally, Wall Street Zen downgraded Toast from a "buy" rating to a "hold" rating in a research report on Saturday, July 4th. Eighteen investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat.com, Toast has an average rating of "Moderate Buy" and an average target price of $38.27.

Toast Trading Up 2.7%

NYSE:TOST traded up $0.93 on Wednesday, hitting $34.74. 12,727,488 shares of the stock were exchanged, compared to its average volume of 11,801,244. The stock has a market cap of $17.92 billion, a PE ratio of 53.56 and a beta of 1.72. Toast has a fifty-two week low of $22.26 and a fifty-two week high of $46.81. The stock has a fifty day moving average of $27.87 and a 200-day moving average of $27.83.

Toast (NYSE:TOST - Get Free Report) last issued its earnings results on Tuesday, August 4th. The company reported $0.26 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.32 by ($0.06). Toast had a return on equity of 20.86% and a net margin of 6.39%.The firm had revenue of $1.91 billion for the quarter, compared to analysts' expectations of $1.87 billion. During the same quarter in the previous year, the firm posted $0.13 EPS. The firm's revenue for the quarter was up 23.1% compared to the same quarter last year. As a group, analysts predict that Toast will post 0.97 earnings per share for the current year.

Insider Buying and Selling at Toast

In other news, CEO Aman Narang sold 14,365 shares of the firm's stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $28.85, for a total transaction of $414,430.25. Following the completion of the sale, the chief executive officer directly owned 70,451 shares in the company, valued at $2,032,511.35. This trade represents a 16.94% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Brian R. Elworthy sold 6,352 shares of Toast stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $28.85, for a total value of $183,255.20. Following the sale, the general counsel owned 196,909 shares in the company, valued at $5,680,824.65. This represents a 3.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 173,545 shares of company stock worth $4,748,501. 10.03% of the stock is currently owned by insiders.

Institutional Trading of Toast

Hedge funds and other institutional investors have recently made changes to their positions in the stock. BOKF NA grew its holdings in Toast by 4.5% during the 3rd quarter. BOKF NA now owns 8,023 shares of the company's stock worth $293,000 after acquiring an additional 345 shares in the last quarter. Fifth Third Wealth Advisors LLC raised its stake in shares of Toast by 0.5% in the 1st quarter. Fifth Third Wealth Advisors LLC now owns 67,909 shares of the company's stock valued at $1,800,000 after purchasing an additional 358 shares in the last quarter. The Manufacturers Life Insurance Company lifted its position in shares of Toast by 1.7% during the second quarter. The Manufacturers Life Insurance Company now owns 22,857 shares of the company's stock worth $1,012,000 after purchasing an additional 380 shares during the last quarter. Seven Mile Advisory lifted its position in shares of Toast by 3.1% during the third quarter. Seven Mile Advisory now owns 12,689 shares of the company's stock worth $463,000 after purchasing an additional 381 shares during the last quarter. Finally, HM Payson & Co. grew its stake in Toast by 6.2% in the fourth quarter. HM Payson & Co. now owns 6,742 shares of the company's stock worth $239,000 after purchasing an additional 392 shares in the last quarter. Institutional investors own 82.91% of the company's stock.

Toast News Summary

Here are the key news stories impacting Toast this week:

• Positive Sentiment: Toast raised its 2026 outlook after a strong quarter. Management said second-quarter recurring gross profit streams grew 28%, GAAP operating-income margins expanded to 26%, and the company added a record 9,500 net locations. Toast also plans to reinvest part of its upside into AI and further expansion, supporting expectations for continued growth. Toast Announces Second Quarter 2026 Financial Results
• Positive Sentiment: Revenue exceeded expectations. Toast reported second-quarter revenue of $1.91 billion, above the $1.87 billion consensus estimate and up 23.1% year over year. The customer-location gains indicate continued adoption of its restaurant technology and fintech platform. Toast Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Analysts raised their valuations and ratings. BMO Capital Markets increased its price target from $35 to $40 and assigned an “outperform” rating. Piper Sandler raised its target from $32 to $39 with an “overweight” rating, while Needham lifted its target from $35 to $45 and issued a “buy” rating. The upgrades suggest improving confidence in Toast’s growth and profitability trajectory. Analyst price-target upgrades
• Neutral Sentiment: Reported earnings varied by source and measurement. Toast was reported at $0.26 per share versus a $0.32 consensus in one earnings release, while Zacks cited adjusted earnings of $0.34 per share, above estimates. Investors are likely to focus on the company’s exact non-GAAP results and forward guidance. Toast Q2 earnings report
• Negative Sentiment: AI and expansion spending could pressure near-term margins. Reinvestment may strengthen Toast’s long-term competitive position, but higher costs could temper earnings growth as the stock trades at an elevated valuation.
• Negative Sentiment: An executive sold shares. Chief Revenue Officer Jonathan Vassil sold 14,280 shares worth approximately $469,700 under a pre-arranged Rule 10b5-1 trading plan. The plan reduces the significance of the sale as a discretionary bearish signal. SEC insider-trading filing

About Toast

Toast, Inc NYSE: TOST is a technology company that builds a cloud-based platform for restaurants and other foodservice businesses. Headquartered in Boston, Massachusetts, Toast offers integrated point-of-sale (POS) systems and a suite of software and hardware designed to streamline front-of-house and back-of-house operations. The company went public in 2021 and has positioned itself as a vertically integrated provider for the restaurant industry.

Toast's product portfolio includes touchscreen POS terminals and handheld order-and-pay devices, kitchen display systems, and peripherals tailored for high-volume foodservice environments.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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