Toast, Inc. (TOST) - Stock Analysis

Last updated: Jul 25, 2026

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

Strong short-term momentum setup: stock rose about 21% over 21 trading days and made new highs into 2026-07-14. Support comes from S&P MidCap 400 addition, Toast IQ Grow product momentum, revenue growth, strong cash flow, and raised guidance.

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Idea window: 7/14/2026 – 7/21/2026Sector: Technology

AI Analyst Overview

Last Price
$32.60
Market Cap
$14.02B
1D Return
+0.80%
YTD Return
-8.19%

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Valuation Metrics

P/E
34.5
P/B
7.1
P/S
2.2
EV/EBITDA
31.9
Div Yield
—

Price Behavior

6.0

Key Price Behavior Insights: • Higher Base • Momentum Cooling • Near-Term Resistance Support Level: $28.4-$28.6 Resistance Level: $30.8-$31.0 TOST remains in a last month uptrend from $25.77 to $29.04, but the pullback from $30.85 shows cooling momentum and suggests a likely near-term range between $28.4-$28.6 support and $30.8-$31.0 resistance.

uptrend
overbought

Sentiment & News

7.0

Key News Insights: • AI Monetization • Margin Improvement • Earnings Watch Toast is expanding beyond restaurant payments with AI, enterprise and international growth while improving monetization and margins, but rising costs and restaurant demand risk make the Aug. 4 earnings release a key test.

MarginExpansion
EarningsCatalyst
AI

AI Summary

6.0
Neutral

Toast is increasingly shifting from a payments/POS story to a restaurant software platform, so the key investment question is whether rising recurring gross profit and software revenue per location can sustain margin and cash-flow expansion—watch the upcoming 2Q26 print for proof, as competition and hardware-cost pressure could still cap upside.

PlatformShift
ExecutionRisk
Earnings
AI summary updated 4 days ago

Description

Toast, Inc. provides a cloud-based technology platform for restaurants in the United States and Ireland, combining point-of-sale hardware, handheld and kiosk devices, and kitchen display systems with order-and-pay, online ordering, and delivery management capabilities. The company also offers back-office services including payroll and team management, payment processing, financing and loans, loyalty and gift card programs, insurance products, and reporting and analytics, plus an ecosystem of partner integrations via APIs. Founded in 2011, Toast is headquartered in Boston, Massachusetts.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Jul 14Jul 21TOSTToast, Inc.
Strong short-term momentum setup: stock rose about 21% over 21 trading days and made new highs into 2026-07-14. Support comes from S&P MidCap 400 addition, Toast IQ Grow product momentum, revenue growth, strong cash flow, and raised guidance.
Closed+1.2%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.