Toast (NYSE:TOST) underwent analysis by 14 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.
In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 3 | 3 | 7 | 1 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 2 | 3 | 0 | 0 |
| 3M Ago | 2 | 0 | 4 | 1 | 0 |
Analysts have set 12-month price targets for Toast, revealing an average target of $27.21, a high estimate of $33.00, and a low estimate of $19.00. This upward trend is apparent, with the current average reflecting a 13.0% increase from the previous average price target of $24.08.
Exploring Analyst Ratings: An In-Depth Overview
The standing of Toast among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Dan Dolev | Mizuho | Raises | Outperform | $33.00 | $21.00 |
| Charles Nabhan | Stephens & Co. | Maintains | Equal-Weight | $28.00 | $28.00 |
| Moshe Katri | Wedbush | Maintains | Outperform | $30.00 | $30.00 |
| Mayank Tandon | Needham | Maintains | Buy | $30.00 | $30.00 |
| Sanjay Sakhrani | Keefe, Bruyette & Woods | Maintains | Market Perform | $26.00 | $26.00 |
| Moshe Katri | Wedbush | Announces | Outperform | $30.00 | - |
| David Koning | Baird | Maintains | Neutral | $28.00 | $28.00 |
| Dan Dolev | Mizuho | Raises | Neutral | $21.00 | $17.00 |
| Clarke Jeffries | Piper Sandler | Raises | Neutral | $25.00 | $20.00 |
| Daniel Perlin | RBC Capital | Raises | Sector Perform | $27.00 | $23.00 |
| David Hynes | Canaccord Genuity | Raises | Buy | $28.00 | $22.00 |
| Andrew Bauch | Wells Fargo | Raises | Underweight | $19.00 | $17.00 |
| Sanjay Sakhrani | Keefe, Bruyette & Woods | Raises | Market Perform | $26.00 | $25.00 |
| Mayank Tandon | Needham | Raises | Buy | $30.00 | $26.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Toast. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Toast compared to the broader market.
- Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Toast's stock. This comparison reveals trends in analysts' expectations over time.
For valuable insights into Toast's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Toast analyst ratings.
Discovering Toast: A Closer Look
Toast is a us-based restaurant technology company that provides point-of-sale, payment processing, and various software services to 112,000 restaurant locations across the United States at the end of March 2024. The firm generates sales from software subscription fees, as a percentage take rate from each financial transaction it processes, from loan origination and servicing fees from its Toast Capital arm, and from hardware installation and professional services. Unlike competitors, Toast intermediates every payment transaction on its platform, processing some $126 billion in gross platform volume in 2023. The firm's product offerings span point-of-sale systems, inventory and payroll management, delivery integration, e-commerce ordering, reservation management, and loyalty programs.
Unraveling the Financial Story of Toast
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: Toast's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 31.26%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Financials sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: Toast's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -7.72%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Toast's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -6.93%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): Toast's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -4.14%, the company may face hurdles in achieving optimal financial performance.
Debt Management: Toast's debt-to-equity ratio is below the industry average. With a ratio of 0.03, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
Analyst Ratings: Simplified
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.