TOAST INC-CLASS A (NYSE:TOST) – A Strong Growth Stock Meeting Minervini’s Criteria

TOAST INC-CLASS A (NYSE:TOST) has been identified as a high-growth momentum stock that aligns with Mark Minervini’s Trend Template. The company, which provides a restaurant management platform combining SaaS solutions with payment processing, has shown strong technical and fundamental momentum.

Technical Strength: Meeting Minervini’s Trend Template

TOST meets several key criteria from Minervini’s Trend Template, indicating a strong uptrend:

• Price Above Key Moving Averages: The stock is trading above its 50-day ($40.54), 150-day ($38.57), and 200-day ($36.45) moving averages.
• Upward-Trending Averages: Both the 150-day and 200-day moving averages are rising, confirming long-term strength.
• Relative Strength: With a ChartMill Relative Strength score of 93.78, TOST outperforms nearly 94% of all stocks.
• Near 52-Week High: The stock is trading within 4% of its 52-week high ($45.56), a sign of strong momentum.

Fundamental Growth Drivers

TOST exhibits strong earnings and revenue growth, making it attractive for high-growth investors:

• Earnings Growth: EPS (TTM) grew 144.7% year-over-year, with recent quarterly EPS growth of 160%.
• Revenue Growth: Revenue increased 26.7% over the past year, with consistent quarterly growth above 24%.
• Profit Margin Expansion: The latest quarter showed a profit margin of 4.19%, up from 2.39% in the prior quarter.
• Free Cash Flow Growth: FCF per share surged 300% year-over-year, indicating improving financial health.

Technical Setup and Entry Points

According to ChartMill’s technical analysis, TOST has a strong setup:

• Support Levels: Key support zones are found at $41.49-$41.63 and $33.44.
• Resistance: The stock faces resistance near $44.73-$45.24. A breakout above this level could signal further upside.
• Pocket Pivot Signal: Recent accumulation patterns suggest institutional buying interest.

For a deeper technical breakdown, review the full technical report.

Our High Growth Momentum + Trend Template screener lists more stocks with similar growth and technical strength.

Disclaimer

This is not investing advice. The article highlights observations at the time of writing, but you should conduct your own analysis before making investment decisions.