Toast Analysts Boost Their Forecasts After Better-Than-Expected Q2 Results

Toast, Inc. TOST reported better-than-expected second-quarter earnings on Tuesday.

The company posted quarterly earnings of 13 cents per share which beat the analyst consensus estimate of 11 cents per share. The company reported quarterly sales of $1.550 billion which beat the analyst consensus estimate of $1.521 billion.

“I’m proud of the team for delivering another strong quarter – we added a record 8,500 net new locations, recurring gross profit1 grew 35% year over year, and Adjusted EBITDA scaled to $161 million. Both our core U.S. restaurant business and our new market segments performed very well, with enterprise, international, and food and beverage retail passing 10,000 live locations. We are thrilled to welcome another 1,300+ unit chain to Toast as we continue to move upmarket and our international team has launched our first customer in Australia,” said Aman Narang, Toast CEO and Co-Founder.

Toast shares fell 3.2% to close at $47.71 on Tuesday.

These analysts made changes to their price targets on Toast following earnings announcement.

Morgan Stanley analyst Josh Baer maintained Toast with an Overweight rating and raised the price target from $50 to $54.
Keefe, Bruyette & Woods analyst Sanjay Sakhrani maintained the stock with a Market Perform and raised the price target from $47 to $50.
Needham analyst Mayank Tandon maintained Toast with a Buy and raised the price target from $50 to $60.

Considering buying TOST stock? Here’s what analysts think: