Toast Valuation

Is TOST undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of TOST when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TOST ($37.95) is trading above our estimate of fair value ($29.48)

Significantly Below Fair Value: TOST is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for TOST?

Other financial metrics that can be useful for relative valuation.

TOST key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.3x
Enterprise Value/EBITDA10027.3x
PEG Ration/a

Price to Sales Ratio vs Peers

How does TOST's PS Ratio compare to its peers?

The above table shows the PS ratio for TOST vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average5.5x
AFRM Affirm Holdings
7.2x19.5%US$14.6b
CPAY Corpay
6.7x9.9%US$25.5b
FOUR Shift4 Payments
2.4x22.3%US$8.9b
JKHY Jack Henry & Associates
5.8x6.8%US$13.1b
TOST Toast
4.6x17.2%US$21.3b

Price-To-Sales vs Peers: TOST is good value based on its Price-To-Sales Ratio (4.6x) compared to the peer average (5.5x).


Price to Earnings Ratio vs Industry

How does TOST's PE Ratio compare vs other companies in the US Diversified Financial Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-5.0%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-5.0%
n/an/an/a
No more companies

Price-To-Sales vs Industry: TOST is expensive based on its Price-To-Sales Ratio (4.6x) compared to the US Diversified Financial industry average (2.7x).


Price to Sales Ratio vs Fair Ratio

What is TOST's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TOST PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.6x
Fair PS Ratio2.8x

Price-To-Sales vs Fair Ratio: TOST is expensive based on its Price-To-Sales Ratio (4.6x) compared to the estimated Fair Price-To-Sales Ratio (2.8x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst TOST forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$37.95
US$36.42
-4.0%
17.5%US$50.00US$25.00n/a24
Nov ’25US$30.98
US$29.58
-4.5%
11.7%US$35.00US$23.00n/a24
Oct ’25US$28.56
US$27.99
-2.0%
11.9%US$33.00US$19.00n/a23
Sep ’25US$24.86
US$27.67
+11.3%
11.7%US$33.00US$19.00n/a22
Aug ’25US$25.25
US$28.00
+10.9%
11.9%US$33.00US$19.00n/a23
Jul ’25US$25.46
US$27.44
+7.8%
12.5%US$32.60US$19.00n/a23
Jun ’25US$24.23
US$27.44
+13.2%
12.5%US$32.60US$19.00n/a23
May ’25US$23.00
US$24.52
+6.6%
17.9%US$32.00US$17.00n/a22
Apr ’25US$24.33
US$23.74
-2.4%
19.1%US$32.00US$15.00n/a21
Mar ’25US$23.38
US$22.43
-4.1%
15.6%US$31.00US$15.00n/a20
Feb ’25US$18.55
US$19.23
+3.7%
16.2%US$24.00US$12.00n/a20
Jan ’25US$18.26
US$18.61
+1.9%
17.1%US$24.00US$12.00n/a19
Dec ’24US$15.32
US$18.68
+21.9%
16.3%US$22.00US$12.00n/a18
Nov ’24US$16.21
US$23.22
+43.3%
17.5%US$31.00US$16.00US$30.9818
Oct ’24US$18.73
US$25.50
+36.1%
13.6%US$31.00US$19.00US$28.5616
Sep ’24US$21.98
US$25.66
+16.7%
12.3%US$31.00US$19.00US$24.8618
Aug ’24US$21.79
US$24.22
+11.2%
12.7%US$30.00US$18.00US$25.2518
Jul ’24US$22.57
US$23.85
+5.7%
13.0%US$30.00US$18.00US$25.4617
Jun ’24US$21.58
US$23.82
+10.4%
12.9%US$30.00US$18.00US$24.2319
May ’24US$17.52
US$22.67
+29.4%
15.7%US$30.00US$16.00US$23.0018
Apr ’24US$17.75
US$23.50
+32.4%
14.2%US$30.00US$16.00US$24.3317
Mar ’24US$18.41
US$23.97
+30.2%
11.8%US$30.00US$19.00US$23.3816
Feb ’24US$23.15
US$24.69
+6.6%
13.8%US$32.00US$19.00US$18.5516
Jan ’24US$18.03
US$25.67
+42.4%
12.4%US$32.00US$21.00US$18.2615
Dec ’23US$18.34
US$25.67
+39.9%
12.4%US$32.00US$21.00US$15.3215
Nov ’23US$22.01
US$24.60
+11.8%
9.9%US$29.00US$20.50US$16.2115

Analyst Forecast: Target price is lower than the current share price.


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