Toast: Buy the Re-Rate on ARR Growth and Margin Expansion
Toast is a restaurant-focused SaaS and payments platform trading near $27.40. With guidance implying roughly $2.3B in ARR for 2026, $608M in free cash flow, and a healthy cash position, the bull case is simple: sustained net new locations and EBITDA expansion should drive multiple expansion from current EV/ARR levels. This trade idea recommends a l…