Key Insights:
- Toast's Q1 results surpassed expectations with a GAAP EPS of $0.09, boosting investor confidence.
- Projected non-GAAP gross profit for Q2 2025 is between $435 million and $445 million, with full-year adjusted EBITDA forecasted at $540 million to $560 million.
- Analysts set an average price target of $41.17, suggesting potential upside for investors.
Toast's Strong First Quarter Performance
Toast (NYSE: TOST) has delivered an impressive start to the year with its first-quarter earnings report. The company announced a GAAP EPS of $0.09, which exceeded market predictions by $0.02. Additionally, revenue surged to $1.34 billion, marking a significant 24.1% increase compared to the prior year. For the upcoming second quarter, Toast anticipates a non-GAAP gross profit ranging between $435 million and $445 million, while the full-year adjusted EBITDA is projected to be in the vicinity of $540 million to $560 million. This outlook reflects the company's robust growth trajectory and operational efficiency.
Wall Street's Optimistic Price Targets
Analyst sentiment towards Toast Inc remains positive, with 26 experts offering a one-year average price target of $41.17. This target represents a potential 12.33% upside from the current trading price of $36.65. The estimates range from a low of $26.40 to a high of $50.00. For more comprehensive data, please visit the Toast Inc (TOST, Financial) Forecast page.
Brokerage Recommendations and GF Value
The consensus among 30 brokerage firms places Toast Inc at an average recommendation of 2.3, indicating an "Outperform" rating. This consensus is on a rating scale where 1 signifies a Strong Buy and 5 denotes a Sell.
According to GuruFocus metrics, the estimated GF Value for Toast Inc one year from now stands at $32.25, suggesting a potential downside of 12.01% from its current price of $36.65. The GF Value is a proprietary metric that estimates the intrinsic value of a stock based on historical trading multiples and future business growth projections. For additional details, please refer to the Toast Inc (TOST, Financial) Summary page.
