Toast Options Trading: A Deep Dive into Market Sentiment

Deep-pocketed investors have adopted a bullish approach towards Toast TOST, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in TOST usually suggests something big is about to happen.

We gleaned this information from our observations today when Benzinga's options scanner highlighted 8 extraordinary options activities for Toast. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 75% leaning bullish and 25% bearish. Among these notable options, 3 are puts, totaling $111,368, and 5 are calls, amounting to $183,530.

Expected Price Movements

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $12.0 and $27.0 for Toast, spanning the last three months.

Volume & Open Interest Trends

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Toast's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Toast's significant trades, within a strike price range of $12.0 to $27.0, over the past month.

Toast 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About Toast

Toast is a U.S.-based restaurant technology company that provides point-of-sale, payment processing, and various software services to 106,000 restaurant locations across the United States at the end of December 2023. The firm generates sales from software subscription fees, as a percentage take rate from each financial transaction it processes, from loan origination and servicing fees from its Toast Capital arm, and from hardware installation and professional services. Unlike competitors, Toast intermediates every payment transaction on its platform, processing some $126 billion in gross platform volume in 2023. The firm's product offerings span point-of-sale systems, inventory and payroll management, delivery integration, e-commerce ordering, reservation management, and loyalty programs.

After a thorough review of the options trading surrounding Toast, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Toast's Current Market Status

• With a trading volume of 2,709,318, the price of TOST is down by -1.66%, reaching $23.17.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 0 days from now.

What The Experts Say On Toast

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $24.4.

• Consistent in their evaluation, an analyst from Wells Fargo keeps a Underweight rating on Toast with a target price of $17.
• An analyst from Keefe, Bruyette & Woods downgraded its action to Market Perform with a price target of $25.
• An analyst from Goldman Sachs has decided to maintain their Buy rating on Toast, which currently sits at a price target of $29.
• In a cautious move, an analyst from RBC Capital downgraded its rating to Sector Perform, setting a price target of $23.
• Maintaining their stance, an analyst from Baird continues to hold a Outperform rating for Toast, targeting a price of $28.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Toast options trades with real-time alerts from Benzinga Pro.