Toast boosts buybacks after strong 2025 results
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Toast Inc ( (TOST) ) has issued an update.
Toast on Feb. 12, 2026 reported strong fourth-quarter and full-year 2025 results, highlighted by a record 30,000 net new locations in 2025 and annualized recurring run-rate surpassing $2.0 billion. Revenue drivers included a 22% year-over-year increase in total locations to about 164,000 and gross payment volume of $51.4 billion in the fourth quarter, while recurring gross profit grew sharply in both GAAP and non-GAAP terms.
Profitability improved markedly, with GAAP net income rising to $101 million in the fourth quarter and $342 million for 2025, alongside robust adjusted EBITDA and free cash flow gains versus 2024. On Feb. 10, 2026, the board boosted the existing share repurchase program by $500 million, signaling confidence in the company’s financial trajectory and capital-return strategy, as Toast also expanded strategic relationships, including a rollout with MTY Food Group’s Papa Murphy’s stores and a new operational partnership with Instacart.
These results underscore Toast’s growing scale in restaurant and retail-adjacent markets and its ability to convert transaction volume into recurring high-margin software and fintech earnings. The combination of strong growth, rising profitability, and incremental buyback authorization suggests a maturing business profile that could reinforce the company’s competitive positioning and appeal to both growth-focused and capital-discipline-oriented investors.
The most recent analyst rating on (TOST) stock is a Hold with a $30.00 price target. To see the full list of analyst forecasts on Toast Inc stock, see the TOST Stock Forecast page.
Spark’s Take on TOST Stock
According to Spark, TipRanks’ AI Analyst, TOST is a Outperform.
The score is supported by improving financial performance (profitability and free cash flow momentum with very low leverage) and a strong earnings narrative with upbeat guidance and ARR/EBITDA/FCF strength. This is tempered by weak technicals (downtrend and negative momentum despite being oversold) and a relatively expensive valuation (high P/E and no dividend support).
To see Spark’s full report on TOST stock, click here.
More about Toast Inc
Toast Inc. is a Boston-based cloud-driven, all-in-one digital technology platform focused on the restaurant and broader hospitality industry. The company offers SaaS and financial technology solutions covering point-of-sale, payments, operations, digital ordering and delivery, marketing and loyalty, team management, and retail capabilities for service models spanning dine-in, takeout, delivery, catering, and on-premise retail.
Acting as an operating system that links front- and back-of-house workflows, Toast targets restaurants and foodservice operators seeking to streamline operations, boost revenue, and enhance guest experience. Its platform processes substantial payment volume, supports more than 160,000 locations, and increasingly serves multi-location chains through strategic partnerships and integrations with ecosystem players such as Instacart and large franchise groups.
Average Trading Volume: 9,016,699
Technical Sentiment Signal: Sell
Current Market Cap: $17.33B
For an in-depth examination of TOST stock, go to TipRanks’ Overview page.
