Toast, Inc. (NYSE:TOST) CEO Aman Narang recently engaged in transactions involving the company's Class A Common Stock, according to the latest filings. On May 2, 2024, Narang sold 1,064 shares at a price of $22.96 per share, totaling $24,429. The sale was related to tax withholding obligations for vested Restricted Stock Units (RSUs) and was not a discretionary trade.
This transaction comes after Narang acquired 3,521 shares on May 1, 2024, through the vesting of RSUs, which convert into Class A Common Stock on a one-for-one basis upon settlement. The RSUs are set to vest in sixteen equal quarterly installments following February 1, 2022. The CEO's direct holdings in non-derivative securities following these transactions amount to 1,117,911 shares of Class A Common Stock.
In addition to his holdings in Class A shares, Narang also owns 18,912,840 shares of Class B common stock of Toast, Inc. These Class B shares are convertible at any time into Class A shares, adding a significant potential increase to his stake in the company.
Investors often keep a close eye on insider transactions as they can provide insights into the executives' confidence in the company's prospects. Toast, Inc. specializes in computer processing and data preparation services and is headquartered in Boston, MA.
InvestingPro Insights
As investors scrutinize the insider transactions of Toast, Inc. (NYSE:TOST), it's also beneficial to consider the company's financial health and market performance. Recent data from InvestingPro provides a snapshot of Toast's current standing in the market:
- The company's market capitalization stands at a robust $12.94 billion, reflecting investor confidence in its business model and growth prospects.
- Toast's revenue has shown a significant uptick, with a growth of 41.52% over the last twelve months as of Q4 2023, suggesting an expanding market presence and increasing sales performance.
- The stock has experienced a strong return over the last three months, with a 25.23% price total return, indicating positive investor sentiment and potential for continued momentum.
However, a couple of InvestingPro Tips highlight areas of caution and potential for Toast, Inc.:
- InvestingPro Tips suggest that while net income is expected to grow this year, Toast currently suffers from weak gross profit margins, which stood at 21.71% over the last twelve months as of Q4 2023.
- The company's stock price movements have been quite volatile, which could be a point of consideration for risk-averse investors.
For investors seeking a deeper analysis, there are additional InvestingPro Tips available, which can be accessed through the InvestingPro platform. These tips could provide further guidance on the company's profitability forecasts, liquidity, and valuation metrics. Interested readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking valuable insights that could inform investment decisions.
With a total of 10 InvestingPro Tips listed for Toast, Inc., subscribers can gain comprehensive insights into the company's financial health and market expectations. The next earnings date is set for May 7, 2024, which will be a pivotal moment for investors to assess the company's progress and future outlook.
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