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Toast’s resiliency amid a volatile macroeconomic backdrop warrants greater appreciation, according to Wells Fargo. Analyst Andrew Bauch double-upgraded shares of the cloud-based restaurant platform to overweight from underweight. Bauch also lifted his price target to $39 from $30, signaling 13% upside. TOST 1Y mountain TOST 1Y chart “We believe TOST’s valuation now underappreciates its incremental … growth opptys, namely enterprise, int’l and Food & Bev retail,” the analyst added. “Further, TOST’s defensiveness should stand out among the group in light of macro volatility.” Toast already boasts “impressive” market share gains over the past five years, Bauch said. Going forward, he expects this trend to continue. “While some argue TOST’s market share is becoming saturated, we believe the TAM expanding efforts made over the last few years are becoming much more credible and in our scenario analysis, see a reasonable path to +5% GP upside in ’26/’27, using conservative penetration assumptions in new vectors,” he said. Toast shares were down more than 1% despite the double upgrade. That said, the stock is up nearly 19% over the past six months, while the S & P 500 is down more than 5% in that time. Analysts are split on the stock despite Wells Fargo’s upgrade. Of the 29 who cover it, 13 have a buy or strong buy rating, LSEG data shows. The remaining 16 have a hold or underperform rating on shares. Get Your Ticket to Pro LIVE Join us at the New York Stock Exchange! Uncertain markets? Gain an edge with CNBC Pro LIVE , an exclusive, inaugural event at the historic New York Stock Exchange. In today’s dynamic financial landscape, access to expert insights is paramount. As a CNBC Pro subscriber, we invite you to join us for our first exclusive, in-person CNBC Pro LIVE event at the iconic NYSE on Thursday, June 12. Join interactive Pro clinics led by our Pros Carter Worth, Dan Niles, and Dan Ives, with a special edition of Pro Talks with Tom Lee. You’ll also get the opportunity to network with CNBC experts, talent and other Pro subscribers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!
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