Wedbush Issues Pessimistic Outlook for Toast Earnings

Toast, Inc. (NYSE:TOST) – Wedbush cut their Q1 2025 EPS estimates for shares of Toast in a research report issued on Friday, February 14th. Wedbush analyst N. Setyan now forecasts that the company will post earnings per share of $0.04 for the quarter, down from their previous estimate of $0.05. Wedbush currently has a “Outperform” rating and a $45.00 target price on the stock. The consensus estimate for Toast’s current full-year earnings is $0.03 per share. Wedbush also issued estimates for Toast’s Q1 2025 earnings at $0.04 EPS, Q2 2025 earnings at $0.09 EPS and Q2 2025 earnings at $0.09 EPS.

Several other research firms also recently commented on TOST. Deutsche Bank Aktiengesellschaft raised their price target on shares of Toast from $24.00 to $30.00 and gave the stock a “hold” rating in a research note on Monday, November 4th. Morgan Stanley raised their price target on shares of Toast from $30.00 to $33.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 22nd. Piper Sandler raised their price target on shares of Toast from $25.00 to $35.00 and gave the stock a “neutral” rating in a research note on Monday, November 11th. DA Davidson reissued a “neutral” rating and set a $38.00 target price (down previously from $44.00) on shares of Toast in a research report on Thursday, December 5th. Finally, BMO Capital Markets assumed coverage on shares of Toast in a research report on Monday, January 6th. They set an “outperform” rating and a $45.00 target price on the stock. One investment analyst has rated the stock with a sell rating, twelve have assigned a hold rating and ten have given a buy rating to the stock. According to data from MarketBeat, Toast has an average rating of “Hold” and a consensus target price of $36.09.

Toast Price Performance

TOST stock opened at $40.57 on Monday. The company has a market capitalization of $19.11 billion, a PE ratio of -312.11, a P/E/G ratio of 2.25 and a beta of 1.98. Toast has a 12 month low of $18.47 and a 12 month high of $44.12. The firm’s 50-day moving average is $38.43 and its 200 day moving average is $33.02.

Institutional Trading of Toast

Several institutional investors and hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. lifted its stake in Toast by 10.8% during the 4th quarter. Vanguard Group Inc. now owns 42,474,232 shares of the company’s stock valued at $1,548,186,000 after acquiring an additional 4,147,430 shares during the period. Capital International Investors lifted its stake in Toast by 1.9% during the 4th quarter. Capital International Investors now owns 41,961,233 shares of the company’s stock valued at $1,529,657,000 after acquiring an additional 785,641 shares during the period. FMR LLC lifted its stake in Toast by 22.1% during the 4th quarter. FMR LLC now owns 29,853,639 shares of the company’s stock valued at $1,088,165,000 after acquiring an additional 5,403,896 shares during the period. ValueAct Holdings L.P. acquired a new stake in Toast during the 3rd quarter valued at approximately $438,301,000. Finally, State Street Corp lifted its stake in Toast by 2.5% during the 3rd quarter. State Street Corp now owns 8,325,292 shares of the company’s stock valued at $235,689,000 after acquiring an additional 206,789 shares during the period. 82.91% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, CRO Jonathan Vassil sold 1,006 shares of Toast stock in a transaction that occurred on Tuesday, February 4th. The shares were sold at an average price of $39.63, for a total value of $39,867.78. Following the completion of the sale, the executive now directly owns 48,488 shares in the company, valued at $1,921,579.44. This trade represents a 2.03 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director David Yuan sold 189,785 shares of Toast stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $43.01, for a total transaction of $8,162,652.85. Following the completion of the sale, the director now owns 198,829 shares of the company’s stock, valued at $8,551,635.29. This trade represents a 48.84 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 362,449 shares of company stock worth $14,538,099 in the last three months. Corporate insiders own 13.32% of the company’s stock.

About Toast

Toast, Inc operates a cloud-based digital technology platform for the restaurant industry in the United States, Ireland, and India. The company offers software products for restaurant operations and point of sale, such as Toast POS, Toast now, multi-location management, kitchen display system, Toast mobile order and pay, Toast catering and events, Toast invoicing, Toast tables, and restaurant retail; and hardware products, including Toast flex, Toast flex for guest, Toast go 2, Toast tap, kiosks, and Delphi by Toast.