Toast gains after Q3 revenue beat, FY forecast raise

Toast

08/11/2024 15:26

(Updates)
    ** Shares of restaurant software provider Toast  TOST.N 
advance 9.2% to $35.64, hit highest since December 2021
    ** Company's Q3 revenue of $1.305 bln is above analysts'
est. of $1.290 bln - data compiled by LSEG
    ** Expects FY adj. EBITDA in the range of $352 mln to $362
mln, up from $285 mln to $305 mln projected earlier
    ** Company has added about 7,000 net new locations in Q3,
says CEO Aman Narang
    ** At least 6 brokerages raise PT on stock after results
    ** Wedbush raises PT to $45 from $35, expects gross payment
volume/location pressure to persist through Q4 and into 1H25
    ** "We expect the GPV pressure to be more than offset by
continued momentum in net location adds and subscription
services revenue" - Wedbush
    ** Morgan Stanley raises PT to $45 from $33
    ** Avg. rating of brokerages is "buy"; median PT is $34.5 -
LSEG data
    ** Including session's move, stock up 95.7% YTD

 (Reporting by Sukriti Gupta in Bengaluru)
 ((Sukriti.Gupta@thomsonreuters.com;))