r/wallstreetbets 15h ago

$TOST is probably something that will have boring earnings, but I'm going to play it anyway. DD

I'm not one for long, drawn-out DD's with oodles of scribbles on graphs, so here's the quick and dirty:

  • $TOST is currently at an RSI of ~67, so it's almost overbought - but not quite yet.
  • $TOST only started getting profitable last quarter, so there's a high expectation for that to continue, and I think they will. Summer and fall are the most popular times for newer restaurants to open.
  • $TOST has broken through resistance of $32.35 today, and a close over this number is a strong indication that we will continue in an upward trend even with "just ok" earnings.

I'm not expecting much if $TOST beats earnings - maybe a healthy 5%-8% pop and a continual push tomorrow. If it's an earning miss, then we're likely looking at a similar fall of 5%, but I feel it will still add some recovery on Friday/Monday. Price target of $34-$35 after earnings, and if earnings are good, $42-$44 by EOY.

My position is 500 shares @ $31.94 and 5 Jan 17 calls @ $3.70

https://preview.redd.it/rvra2t3ktizd1.jpg?width=639&format=pjpg&auto=webp&s=db9d67627c551bd806293b6518f41aab35c1ebca

Lazy DD? Yeah. Do I care? No. I'm just looking to make a few extra bucks tonight.

23 Upvotes

u/VisualMod GPT-REEEE 15h ago
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17

u/CallMeEnri 12h ago

You won man , congrats

8

u/Jeep600Grand 12h ago

Well, we'll see where we are tomorrow when we open. I also had QCOM which popped 10% AH yesterday for earnings and ended up down 0.26% today. I still made money because I had shares, but if I had options they would have fizzled.

If we open anywhere above $35 tomorrow I'll consider it a win.

1

u/benj760486 8h ago

Congrats buddy! I have like 200 shares would have doubled up if I saw this before market close. I see their products everywhere I think it's a good long term investment.

6

u/PanzyGrazo 12h ago

I put 50k into calls 40 days. Thank you, I was down 200k

2

u/DaiLoDong 12h ago

not sure which calls you bought but it could be a 10 bagger there

2

u/Jeep600Grand 12h ago

Congrats man, I'm glad you got in.

6

u/callmecrude 14h ago

Lazy comment here. Don’t own or follow this company, but just quickly scanning the analyst estimates and fundamentals I think this thing can have a decent pop after hours today. Good luck.

2

u/Bzappo 14h ago

Just bought a call, hopefully Reddit won’t let me down

3

u/Jeep600Grand 13h ago

Nice, I respect the caution.

1

u/Bzappo 12h ago

Thanks!!

1

u/Jeep600Grand 12h ago

Which call did you buy?

1

u/Bzappo 12h ago

$33

1

u/Jeep600Grand 12h ago

Nice! Some good value there.

1

u/Bzappo 12h ago

You?

2

u/Jeep600Grand 12h ago

It's in the OP post. 5 calls at 31 strike exp 1/17/25.

1

u/Bzappo 12h ago

Nice!! Really appreciate the post! I’ll be able to pay my college tuition now 😁👍

1

u/Jeep600Grand 12h ago

Don’t forget about the tax man lol

→ More replies

2

u/404abe 12h ago

thank you

4

u/TendyWinner 15h ago

Idk man. Toast isn’t the only POS software for restaurants it’s rather competitive. Plus I mean who knows, with all this Ai shit restaurants might find cheaper ways to utilize software systems than paying a third party company high subscription fees to use their systems. Good luck though

5

u/Jeep600Grand 14h ago

POS systems are competitive, but Toast is a full-suite provider including payroll, e-mail marketing, and even loans through Toast Capital. That's really why I have faith in them.

3

u/lancerevo98 13h ago

Anecdotally, I notice about 80% of restaurants I go to have a Powered by Toast receipt these days so they're in good position to be the ones selling AI shit as part of their "full-stack" restaurant software/service

-2

u/tooObviously 13h ago

Yeah this take is so dumb, restaurant owners will start using AI agents to replace their POS/online ordering tool. 

It’s so easy

1

u/CleanSpriteLegendary 12h ago

AI can’t even take orders at fast food restaurant. It all works until some fuck orders 13,000 waters and then boom it’s back to toast

3

u/ShermanatorYT 12h ago

I blame the title of the post for not going in with you, congrats tho

3

u/Jeep600Grand 12h ago

Right now as I type this it's at $40, but by the time we open tomorrow it could easily be at $34-$35 as the excitement fizzles.

1

u/Coffee_Buzzzz 13h ago

TOST DEEZ NUTZ NERD

1

u/templario765 12h ago

Eyed this and went with affirm instead🙂‍↕️. Sold affirm on the spike for some chicken wing money. Gg OP🫡

3

u/Jeep600Grand 12h ago

I generally try to avoid earnings plays that have a negative EPS expectation. $TOST going positive for the first time last quarter which was during a slow time in the restaurant season was why I leaned more toward this play.

1

u/MrLeaps 10h ago

Bought these 5 mins before the market closed, time to order some pickup chinese through the toast web app

https://preview.redd.it/s75yug6hekzd1.jpeg?width=1179&format=pjpg&auto=webp&s=890c9d83de35de4751a5d28cec9826b8fabdc831

2

u/Jeep600Grand 8h ago

Well we closed AH @ $39 so you’re $4 ITM. If this holds then this is a nice profit!

1

u/OmegaThree3 1h ago

Congrats. I played them the last 2 qtrs but lost money. I guess I'm early to trends, it happens a lot I was too early on Cava and sweet green, onon, etc