Analyst Mayank Tandon from Needham maintained a Buy rating on Toast Inc and keeping the price target at $35.00.
Meet Samuel – Your Personal Investing Prophet
- Start a conversation with TipRanks’ trusted, data-backed investment intelligence
- Ask Samuel about stocks, your portfolio, or the market and get instant, personalized insights in seconds
Mayank Tandon has given his Buy rating due to a combination of factors including Toast’s strong first-quarter performance and ongoing share gains across its core and newer markets. The company delivered results ahead of expectations, driven by robust net new location additions, solid growth in recurring gross profit, and clear signs of operating leverage, all of which reinforce confidence in its long-term growth trajectory.
He also points to constructive full-year guidance, with management raising outlooks for recurring gross profit and adjusted EBITDA despite near-term margin pressure from hardware and memory chip costs. In addition, Toast’s expanding platform, new product launches such as Drive-Thru and its first AI agent in Toast IQ, and disciplined investment strategy support his view that the company can monetize AI, capture new TAM in retail, enterprise, and international markets, and ultimately justify maintaining a $35 price target and a Buy rating.
In another report released on May 4, Evercore ISI also maintained a Buy rating on the stock with a $35.00 price target.
Based on the recent corporate insider activity of 85 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of TOST in relation to earlier this year.