Toast (NYSE:TOST) Price Target Cut to $42.00 by Analysts at Citigroup

Toast (NYSE:TOST) had its price objective decreased by analysts at Citigroup from $51.00 to $42.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. Citigroup’s price objective would suggest a potential upside of 49.92% from the company’s current price.

Several other equities analysts also recently weighed in on TOST. Royal Bank Of Canada set a $45.00 target price on shares of Toast in a report on Wednesday, November 5th. DA Davidson cut their target price on shares of Toast from $42.00 to $36.00 and set a “neutral” rating for the company in a research note on Monday, February 2nd. Weiss Ratings reiterated a “hold (c-)” rating on shares of Toast in a report on Monday, December 29th. BNP Paribas Exane raised Toast from a “hold” rating to an “outperform” rating and set a $40.00 price target on the stock in a research note on Monday, December 1st. Finally, Wolfe Research cut Toast from an “outperform” rating to a “peer perform” rating in a report on Thursday, January 8th. Fifteen research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $41.18.

Toast Trading Up 7.2%

Shares of TOST traded up $1.88 during mid-day trading on Friday, hitting $28.02. The company’s stock had a trading volume of 20,464,175 shares, compared to its average volume of 12,085,071. Toast has a 1-year low of $25.91 and a 1-year high of $49.66. The firm has a market capitalization of $14.43 billion, a P/E ratio of 65.15 and a beta of 1.93. The firm has a 50-day simple moving average of $33.72 and a 200 day simple moving average of $37.43.

Toast (NYSE:TOST) last issued its earnings results on Thursday, February 12th. The company reported $0.16 earnings per share for the quarter, missing the consensus estimate of $0.24 by ($0.08). The company had revenue of $1.63 billion for the quarter, compared to analyst estimates of $1.62 billion. Toast had a return on equity of 15.77% and a net margin of 4.68%.The company’s quarterly revenue was up 22.0% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.05 earnings per share. As a group, sell-side analysts predict that Toast will post 0.39 EPS for the current fiscal year.

Toast declared that its Board of Directors has approved a share buyback plan on Thursday, February 12th that authorizes the company to repurchase $0.00 in shares. This repurchase authorization authorizes the company to purchase shares of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its stock is undervalued.

Insider Transactions at Toast

In other Toast news, CEO Aman Narang sold 1,648 shares of the business’s stock in a transaction on Tuesday, February 3rd. The stock was sold at an average price of $30.34, for a total transaction of $50,000.32. Following the completion of the transaction, the chief executive officer owned 340,723 shares in the company, valued at approximately $10,337,535.82. The trade was a 0.48% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, President Stephen Fredette sold 1,060 shares of the business’s stock in a transaction dated Tuesday, February 3rd. The stock was sold at an average price of $30.34, for a total transaction of $32,160.40. Following the completion of the sale, the president owned 913,067 shares in the company, valued at approximately $27,702,452.78. This trade represents a 0.12% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 100,856 shares of company stock worth $3,540,449 over the last 90 days. Corporate insiders own 12.14% of the company’s stock.

Institutional Trading of Toast

Large investors have recently added to or reduced their stakes in the business. Capital International Investors raised its stake in shares of Toast by 7.4% during the third quarter. Capital International Investors now owns 48,428,060 shares of the company’s stock worth $1,768,256,000 after buying an additional 3,351,545 shares during the last quarter. Vanguard Group Inc. raised its stake in shares of Toast by 0.8% in the 3rd quarter. Vanguard Group Inc. now owns 44,764,157 shares of the company’s stock valued at $1,634,339,000 after purchasing an additional 352,435 shares during the period. Jennison Associates LLC lifted its stake in Toast by 1.0% in the 4th quarter. Jennison Associates LLC now owns 15,157,955 shares of the company’s stock valued at $538,259,000 after acquiring an additional 157,394 shares in the last quarter. State Street Corp lifted its position in Toast by 3.0% during the 4th quarter. State Street Corp now owns 9,820,594 shares of the company’s stock worth $348,729,000 after buying an additional 282,282 shares in the last quarter. Finally, Geode Capital Management LLC boosted its holdings in shares of Toast by 2.0% in the 4th quarter. Geode Capital Management LLC now owns 8,675,056 shares of the company’s stock valued at $307,214,000 after buying an additional 169,230 shares during the last quarter. 82.91% of the stock is owned by institutional investors.

Toast News Roundup

Here are the key news stories impacting Toast this week:

• Positive Sentiment: Board authorized a share buyback, a signal management sees value in the stock and should support EPS/share and market confidence. RTT News
• Positive Sentiment: Quarterly revenue grew ~22% year-over-year and modestly beat consensus ($1.63B vs. $1.62B), underscoring demand resilience in Toast’s restaurant software/payments ecosystem. MarketBeat
• Positive Sentiment: Several bullish analyst/industry takes remain in place — Canaccord Genuity kept a Buy rating and Seeking Alpha published a bullish note arguing Toast’s ARR growth, rising take rate and margin expansion provide a durable moat. These views help support investor sentiment. Canaccord Seeking Alpha
• Neutral Sentiment: Company released the full Q4 and FY2025 results and the earnings call transcript; useful detail for modeling but largely reiterates the mixed top-line vs. profit story. Business Wire
• Neutral Sentiment: Analyst coverage pieces and metric deep-dives (Zacks, Seeking Alpha transcript) provide context for investors but don’t change the headline mixed fundamentals. Zacks
• Negative Sentiment: Reported EPS came in below consensus (reported $0.16 vs. $0.24 expected per MarketBeat summary / other outlets), which is the principal near-term drag and likely explains some investor caution. MarketBeat EPS report
• Negative Sentiment: Needham cut its price target sharply from $60 to $35 (while keeping a Buy rating), reducing the street’s upside expectation and adding downward pressure on sentiment despite the retained buy stance. The Fly

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.