Toast (TOST) Stock Sinks As Market Gains: Here's Why
In the latest market close, Toast (TOST) reached $27.65, with a -0.22% movement compared to the previous day. This change lagged the S&P 500's 0.28% gain on the day. Elsewhere, the Dow saw an upswing of 0.15%, while the tech-heavy Nasdaq appreciated by 0.15%.
Shares of the restaurant software provider witnessed a gain of 17.02% over the previous month, beating the performance of the Computer and Technology sector with its loss of 0.02% and the S&P 500's gain of 2%.
Investors will be eagerly watching for the performance of Toast in its upcoming earnings disclosure. On that day, Toast is projected to report earnings of $0.01 per share, which would represent year-over-year growth of 111.11%. In the meantime, our current consensus estimate forecasts the revenue to be $1.29 billion, indicating a 24.78% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of -$0.10 per share and revenue of $4.9 billion, which would represent changes of +78.72% and +26.75%, respectively, from the prior year.
Any recent changes to analyst estimates for Toast should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.59% lower. Toast currently has a Zacks Rank of #3 (Hold).
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 75, putting it in the top 30% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Toast, Inc. (TOST) : Free Stock Analysis Report