Toast shares pop as revenue beats estimates and forecast shows more restaurants are going digital
Summary
Toast shares jumped 12% Friday after the restaurant software vendor beat revenue estimates and said the number of locations it serves surged 40% in the second quarter. The rally in Toasts shares on Friday is the latest sign of a possible rebound in the tech stocks that were hit the hardest in this years market swoon. CEO Chris Comparato said on the earnings call with analysts that Toast is excelling by helping restaurants become more efficient with their sales while also managing their expenses. "We provide restaurants with an array of products to automate processes and increase efficiency across their workflows so they can focus on what matters the most: the food, their guests and their employees." "The expanding product portfolio appears to be resonating in an environment marked by rising food costs, labor shortages, and supply chain challenges, thus helping restaurants digitize and automate operations," the analysts wrote in a note late Thursday.