Freedom Capital Markets Gives Toast (TOST) a Buy Rating

Toast, Inc. (NYSE:TOST) is one of the 12 Best Fintech Stocks to Buy According to Analysts. On October 15, Freedom Capital Markets initiated coverage of Toast, Inc. (NYSE:TOST), giving the stock a Buy rating and setting the price target at $45.

Freedom Capital Markets highlighted Toast, Inc.’s (NYSE:TOST) successful penetration of the US restaurant market with its cloud-based point-of-sale system. The firm mentioned that the company has reached about 15% of restaurant locations in the US since 2011.

The research firm sees multiple growth catalysts for Toast, Inc. (NYSE:TOST). These include further US market share gains in its core small and medium-sized business segment. There are also big opportunities in enterprise, food and beverage retail, and international markets.

Freedom Capital Markets believes these opportunities can help drive sustained growth in key performance indicators, especially net new locations and annualized recurring revenue. Toast, Inc. (NYSE:TOST) may even surpass its medium-term targets shared at its May 2024 Investor Day.

Toast, Inc. (NYSE:TOST) is an American company that offers financial technology solutions and restaurant management software. It provides a cloud-based, all-in-one digital technology platform designed for the restaurant industry, offering software and financial technology solutions that help restaurants across point of sale, payments, operations, digital ordering and delivery, marketing and loyalty, and team management.

While we acknowledge the potential of TOST as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.