BMO Capital Markets Forecasts Strong Price Appreciation for Toast (NYSE:TOST) Stock

Toast (NYSE:TOST) had its target price increased by analysts at BMO Capital Markets from $35.00 to $40.00 in a report released on Wednesday,Benzinga reports. The brokerage currently has an “outperform” rating on the stock. BMO Capital Markets’ price objective would suggest a potential upside of 17.76% from the company’s current price.

A number of other analysts also recently issued reports on TOST. Morgan Stanley set a $45.00 price objective on shares of Toast in a report on Friday, May 8th. UBS Group lowered their target price on shares of Toast from $40.00 to $34.00 and set a “buy” rating on the stock in a report on Friday, May 8th. Oppenheimer reiterated an “outperform” rating and issued a $36.00 price target on shares of Toast in a research report on Friday, May 8th. Weiss Ratings reissued a “hold (c)” rating on shares of Toast in a research report on Wednesday, May 20th. Finally, Citigroup reaffirmed a “buy” rating on shares of Toast in a report on Wednesday. Eighteen equities research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Toast has an average rating of “Moderate Buy” and a consensus target price of $38.35.

Toast Stock Performance

TOST opened at $33.97 on Wednesday. The stock has a fifty day moving average of $27.87 and a 200-day moving average of $27.83. The company has a market capitalization of $17.53 billion, a P/E ratio of 52.26 and a beta of 1.72. Toast has a fifty-two week low of $22.26 and a fifty-two week high of $49.66.

Toast (NYSE:TOST) last released its quarterly earnings results on Tuesday, August 4th. The company reported $0.26 EPS for the quarter, missing the consensus estimate of $0.32 by ($0.06). Toast had a net margin of 6.39% and a return on equity of 20.86%. The business had revenue of $1.91 billion during the quarter, compared to analyst estimates of $1.87 billion. During the same quarter last year, the company posted $0.13 earnings per share. The company’s revenue was up 23.1% on a year-over-year basis. On average, equities research analysts predict that Toast will post 0.97 earnings per share for the current fiscal year.

Insider Activity

In other news, President Stephen Fredette sold 9,146 shares of the firm’s stock in a transaction that occurred on Thursday, July 2nd. The shares were sold at an average price of $28.85, for a total value of $263,862.10. Following the sale, the president directly owned 931,449 shares in the company, valued at approximately $26,872,303.65. This trade represents a 0.97% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Aman Narang sold 14,365 shares of the firm’s stock in a transaction that occurred on Thursday, July 2nd. The shares were 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 owned 70,451 shares in the company, valued at $2,032,511.35. This represents a 16.94% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 173,545 shares of company stock valued at $4,748,501. Corporate insiders own 10.03% of the company’s stock.

Hedge Funds Weigh In On Toast

A number of hedge funds and other institutional investors have recently made changes to their positions in TOST. NewEdge Advisors LLC increased its position in shares of Toast by 1,555.5% during the first quarter. NewEdge Advisors LLC now owns 17,432 shares of the company’s stock worth $578,000 after buying an additional 16,379 shares during the period. Cerity Partners LLC lifted its position in shares of Toast by 24.0% during the 2nd quarter. Cerity Partners LLC now owns 81,574 shares of the company’s stock valued at $3,613,000 after acquiring an additional 15,774 shares during the period. State Street Corp increased its stake in Toast by 2.7% in the second quarter. State Street Corp now owns 9,212,889 shares of the company’s stock valued at $408,039,000 after purchasing an additional 245,276 shares in the last quarter. Frontier Capital Management Co. LLC bought a new stake in Toast in the 2nd quarter valued at about $4,479,000. Finally, Sei Investments Co. grew its stake in Toast by 24.6% in the second quarter. Sei Investments Co. now owns 1,030,007 shares of the company’s stock valued at $45,619,000 after acquiring an additional 203,404 shares during the period. 82.91% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Toast

Here are the key news stories impacting Toast this week:

• Positive Sentiment: Revenue exceeded expectations. Toast reported Q2 revenue of $1.91 billion, above the $1.87 billion analyst consensus and 23.1% higher than a year earlier. The company also added a record 9,500 net locations, indicating continued demand for its restaurant technology platform. Toast Announces Second Quarter 2026 Financial Results
• Positive Sentiment: Recurring revenue and operating leverage improved. Management said recurring gross profit streams grew 28% and GAAP operating-income margins expanded to 26%. These trends support the view that Toast is scaling beyond its core point-of-sale business and becoming more profitable. Toast Q2 2026 Earnings Call Transcript
• Positive Sentiment: Analyst sentiment remains supportive. Toast carries a “Moderate Buy” consensus rating, with an average price target of $37.27. Recent analysts have raised targets, including Truist Financial, which increased its target to $33 while maintaining a buy rating.
• Neutral Sentiment: AI, subscription and fintech adoption are key growth drivers. Pre-earnings estimates anticipated approximately 20.8% revenue growth from these businesses, but investors remain focused on whether Toast can sustain growth while controlling costs. Toast to Report Q2 Earnings
• Negative Sentiment: Profitability comparisons were mixed. One report listed EPS at $0.26, below the $0.32 consensus, while Zacks reported adjusted EPS of $0.34, above estimates. The conflicting figures may cause investors to examine the precise earnings measure and the quality of Toast’s profit growth. Toast Q2 Earnings and Revenues Top Estimates
• Negative Sentiment: The chief revenue officer sold shares. Jonathan Vassil sold 14,280 shares worth approximately $469,700, reducing his position by 16.95%. Because the sale occurred under a pre-arranged Rule 10b5-1 plan, it is a limited bearish signal. SEC insider-trading filing

Toast Company Profile

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.