2024-04-04 07:04:35 ET
Summary
- Toast reported robust growth in both subscription and FinTech solution revenue, driven by onboarding new merchants and expanding product offerings.
- Despite losses, Toast's EBIT margin improved significantly, with expectations to achieve GAAP profitability by 2H25.
- Toast is actively managing stock-based compensation expenses and implementing a share buyback program to enhance shareholder value.
- Toast commands a premium valuation justified by its exceptional growth trajectory, higher gross margin, and anticipated profitability.
Investment Thesis
Read the full article on Seeking Alpha
For further details see:
Toast: Toasting To Success, Premium Valuation Justified