Toast Inc (TOST) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Toast Inc stock (TOST) is currently trading at $26.81. Toast Inc PE ratio is 47.52. Toast Inc PS ratio (Price-to-Sales) is 2.55. Analyst consensus price target for TOST is $37.70. WallStSmart rates TOST as Moderate Buy.
- TOST PE ratio analysis and historical PE chart
- TOST PS ratio (Price-to-Sales) history and trend
- TOST intrinsic value — DCF, Graham Number, EPV models
- TOST stock price prediction 2025 2026 2027 2028 2029 2030
- TOST fair value vs current price
- TOST insider transactions and insider buying
- Is TOST undervalued or overvalued?
- Toast Inc financial analysis — revenue, earnings, cash flow
- TOST Piotroski F-Score and Altman Z-Score
- TOST analyst price target and Smart Rating
Toast Inc
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TOST Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · Toast Inc (TOST)
TOST trades at a modest 7% premium above its Graham fair value of $26.21. Consider waiting for a pullback.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
Toast Inc (TOST) · 10 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in market cap, peg ratio, revenue growth. Concerns around operating margin and price/book. Overall metrics suggest strong investment potential with favorable risk/reward.
Toast Inc (TOST) Key Strengths (6)
Growing significantly faster than its price suggests
Earnings per share surging 228.20% year-over-year
87.13% of shares held by major funds and institutions
Large-cap company with substantial market presence
Strong revenue growth at 22.00% annually
Solid profitability: $19 profit per $100 equity
Supporting Valuation Data
Toast Inc (TOST) Areas to Watch (4)
Very thin margins with limited operational efficiency
Very expensive at 7.6x book value
Thin profit margins with limited profitability
Revenue is fairly priced at 2.55x sales
Supporting Valuation Data
Toast Inc (TOST) Detailed Analysis Report
Overall Assessment
This company scores 65/100 in our Smart Analysis, earning a B- grade. Out of 10 metrics analyzed, 6 register as strengths (avg 9.0/10) while 4 fall into concern territory (avg 3.5/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on PEG Ratio, EPS Growth, Institutional Own.. Valuation metrics including PEG Ratio (0.23) suggest the stock is attractively priced. Profitability is solid with Return on Equity at 18.60%. Growth metrics are encouraging with Revenue Growth at 22.00%, EPS Growth at 228.20%.
The Bear Case
The primary concerns are Operating Margin, Price/Book, Profit Margin. Some valuation metrics including Price/Sales (2.55), Price/Book (7.61) suggest expensive pricing. Profitability pressure is visible in Operating Margin at 5.51%, Profit Margin at 5.56%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether Operating Margin improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 18.60% currently healthy but needing to be sustained. Third, growth sustainability, with Revenue Growth at 22.00% strong but requiring continuation.
Risk Considerations
Based on the metric profile, this is a moderate-to-high risk investment. The weight of evidence leans positive, with more strengths than concerns. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Mixed fundamentals with both positives (PEG Ratio, EPS Growth) and negatives (Operating Margin, Price/Book). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
TOST Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
TOST's Price-to-Sales ratio of 2.55x trades 41% below its historical average of 4.35x (5th percentile). The current valuation is 86% below its historical high of 18.62x set in Oct 2021, and 21% above its historical low of 2.11x in Nov 2023. Over the past 12 months, the PS ratio has compressed from ~4.1x as trailing revenue scaled faster than the stock price.
Compare TOST with Competitors
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Data-driven financial summary for Toast Inc (TOST) · TECHNOLOGY › SOFTWARE - INFRASTRUCTURE
The Big Picture
Toast Inc is a strong growth company balancing expansion with improving profitability. Revenue reached 6.2B with 22% growth year-over-year. Profit margins are thin at 5.6%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
ROE of 1860.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.
Generating 178M in free cash flow and 194M in operating cash flow. Earnings are translating into actual cash generation.
What to Watch Next
Margin expansion: can Toast Inc push profit margins above 15% as the business scales?
Growth sustainability: can Toast Inc maintain 22%+ revenue growth, or will competition slow it down?
Volatility is elevated with a beta of 1.95, so expect amplified moves relative to the broader market.
Sector dynamics: monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive moves, and regulatory changes that could impact Toast Inc.
Bottom Line
Toast Inc offers an attractive blend of growth (22% revenue expansion) and improving fundamentals. The company is transitioning from pure growth to profitable growth, a critical inflection point. Watch for sustained margin expansion as the key signal.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Toast Inc(TOST)
NYSE
TECHNOLOGY
SOFTWARE - INFRASTRUCTURE
USA
Toast, Inc. operates a cloud-based technology platform for the restaurant industry in the United States and Ireland. The company is headquartered in Boston, Massachusetts.