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Toast (TOST) Rises Yet Lags Behind Market: Some Facts Worth Knowing

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Toast (TOST - Free Report) closed at $28.98 in the latest trading session, marking a +0.63% move from the prior day. The stock's change was less than the S&P 500's daily gain of 0.71%. Elsewhere, the Dow saw an upswing of 1.03%, while the tech-heavy Nasdaq appreciated by 0.6%.

Prior to today's trading, shares of the restaurant software provider had gained 21.62% over the past month. This has outpaced the Computer and Technology sector's gain of 9.96% and the S&P 500's gain of 6.41% in that time.

Market participants will be closely following the financial results of Toast in its upcoming release. In that report, analysts expect Toast to post earnings of $0.01 per share. This would mark year-over-year growth of 111.11%. Alongside, our most recent consensus estimate is anticipating revenue of $1.29 billion, indicating a 24.78% upward movement from the same quarter last year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.10 per share and revenue of $4.9 billion. These totals would mark changes of +78.72% and +26.75%, respectively, from last year.

Investors should also pay attention to any latest changes in analyst estimates for Toast. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Toast is currently sporting a Zacks Rank of #3 (Hold).

The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 73, positioning it in the top 29% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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