Toast investor day tone positive, says Jefferies

Jefferies keeps a Buy rating and $28 price target on Toast after the company hosted its Investor Day. The tone of the meeting was positive as the management recapped progress since the company’s 2021 IPO and laid out a framework to dive profitable growth in its core market and beyond, the analyst tells investors in a research note, adding that the company has ample room for growth in the core U.S. SMB market. Jefferies further noted that Toast’s financial framework reflects the management’s commitment to operating expense discipline without sacrificing growth.