Down 40% This Month Alone, Is This SaaS Stock a Screaming Buy?

By Brian Stoffel and Brian Feroldi – Nov 28, 2021 at 7:00AM

Key Points

Toast provides hardware and software for restaurants.
Once in the company's ecosystem, customers are very sticky.
Motley Fool Issues Rare “All In” Buy Alert

NYSE: TOST

Toast

Market Cap

$13B

Today's Change

(0.22%) $0.05

Current Price

$23.12

Price as of April 25, 2024, 4:00 p.m. ET

One of the largest consumer-facing industries in the country increasingly relies on this company.

While software has enabled life-changing efficiencies in many different industries, a few have been left behind. One of those industries is restaurants -- especially smaller mom-and-pop locations. That's a problem that Toast (TOST 0.22%) aims to solve. The company provides best-in-class payment hardware, as well as many software solutions to help restaurants run efficiently.

In this Nov. 13 video from their YouTube channel, Motley Fool contributors Brian Stoffel and Brian Feroldi discuss the bull and bear case for owning the software-as-a-service (SaaS) stock. They also run the company through each of their investing frameworks. With shares down 40% from all time-highs, what do these two think? Watch to find out.

Brian Feroldi owns shares of Square. Brian Stoffel has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Square. The Motley Fool has a disclosure policy.