Toast (TOST) receives an average brokerage recommendation (ABR) of 1.79, indicating a strong buy on a scale of 1 to 5, based on 29 recommendations from brokerage firms. Of these, 17 are categorized as Strong Buy, accounting for 58.6% of recommendations, while one is rated as Buy, making up 3.5%.
Despite the favorable ABR, analysts suggest caution, as brokerage recommendations have historically shown limited success in guiding retail investors. The Zacks Consensus Estimate for Toast’s earnings for the current year remains unchanged at $1.04, resulting in a Zacks Rank of #3 (Hold), suggesting the stock may perform in line with the broader market.
The difference between the ABR and Zacks Rank highlights the importance of using multiple tools for investment decisions, as Zacks Rank reflects more current earnings estimate revisions, which are critical for predicting stock price movements.
