Toast Inc. (NYSE:TOST) is one of the 15 large cap stocks under $30 with huge upside potential. On February 16, Bernstein analyst Harshita Rawat upgraded Toast Inc. (NYSE:TOST) from a Market Perform rating to Outperform. The analyst maintained his $39 target price for the stock, which yields more than 41% upside potential for investors. Photo by S O C I A L . C U T on Unsplash Rawat highlighted that the stock has declined sharply over the past year due to broader software de-rating and competition conce ...

I think the biggest mistake that I've ever made in business was being ready [music] to sell my company way, way, way too early. [music] Howdy y'all. I'm Elizabeth Gore. Welcome to The Big Idea from Yahoo Finance presented by Block Advisors built by H&R Block. As the co-founder of the small business funding platform Hellois, it has always been my mission to help ensure [music] entrepreneurs have the tools they need to succeed. So, let's cowboy up. Today's big idea question is, how do you spot demand before t ...

Restaurant technology company Chowbus has secured $81m in fresh funding. The round was led by Prysm Capital and Left Lane Capital, with additional backing from Dutchess, Fika, and Avid Bank. Founded in 2016, Chowbus provides restaurants with point-of-sale (POS) systems, integrated marketing and AI-driven tools. The capital injection comes as the company positions itself to move past its existing integrated POS and restaurant management system into a wider set of operational services. These include acc ...

Summary of PAR Conference Call - March 10, 2026 Company Overview - **Company**: PAR (NYSE: PAR) - **Industry**: Restaurant and Retail Technology - **Core Offering**: Integrated platform for restaurant and retail operations, including point of sale, back office, loyalty, and online ordering solutions [2][3] Key Highlights from the Call Industry Insights - **Technology Adoption**: The restaurant industry is transitioning from legacy systems to cloud-based platforms, with 80% of enterprise restaurants still using outdated solutions [4][5] - **AI Adoption**: Restaurants are beginning to adopt AI technologies more rapidly due to the pressures of digital transformation and operational complexities [6][12] Financial Performance - **Fourth Quarter Results**: - 15% year-over-year organic Annual Recurring Revenue (ARR) growth - Added $17 million in ARR during the quarter, exceeding expectations [13][14] - Third consecutive quarter of non-GAAP net income profitability [13] - **Customer Engagement**: 70%-80% of customers purchased multiple products, indicating a shift towards integrated solutions [15] Product Development - **AI Product Launch**: - Launched "Coach AI," adopted by approximately 1,000 stores with high daily usage [16][37] - Future versions will include predictive capabilities and actionable insights [42] - **Retail Expansion**: Launched "Drive AI" for retail, focusing on customer engagement and margin optimization [56] Market Dynamics - **Competitive Landscape**: - The company views itself as an insurgent in a market dominated by established players, emphasizing the need for self-disruption [28][29] - The shift towards integrated solutions is seen as a competitive advantage [153] - **Consumer Trends**: - The restaurant industry faced challenges in 2025, with full-service dining chains gaining market share from quick-service restaurants [126][130] Operational Efficiency - **Cost Management**: Plans to reduce operational expenses by $15 million, leveraging AI to improve efficiency [21][88] - **2026 Guidance**: Projecting mid-teens organic ARR growth, with confidence stemming from strong bookings and existing customer contracts [82][84] Strategic Partnerships - **Notable Win**: Secured a partnership with Papa Johns, transitioning from legacy systems to PAR's solutions, which opens new market opportunities [91][95] - **International Expansion**: Focus on becoming a partner for U.S. brands expanding internationally, addressing technology gaps in foreign markets [167] Capital Allocation - **Share Repurchase Program**: Authorized a $100 million share repurchase program, with a focus on internal operations and potential M&A opportunities [170][178] Additional Insights - **Retail Market Growth**: Convenience stores are increasingly adopting digital tools, with PAR's loyalty solutions gaining traction in this segment [70][78] - **AI Integration**: The company aims to embed AI across its offerings, enhancing operational capabilities and customer engagement [56][66] - **Long-term Vision**: Emphasis on building a robust, integrated platform that meets the evolving needs of the restaurant and retail sectors [162][178] This summary encapsulates the key points discussed during the PAR conference call, highlighting the company's strategic direction, financial performance, and market positioning.

Financial Data and Key Metrics Changes - In Q4, the company reported revenue of $120.1 million, a 14% increase year-over-year, primarily driven by subscription services and hardware revenue growth [6][24] - Full year revenue reached $455.5 million, up $105 million year-over-year, with 21% organic growth and subscription services growing 40% [6][25] - Non-GAAP net income for Q4 was $2.6 million, marking the third consecutive quarter of non-GAAP profitability [6][25] - Adjusted EBITDA for Q4 was $7 million, reflecting a positive trend in profitability [6][25] Business Line Data and Key Metrics Changes - Subscription service revenue was $76 million in Q4, an 18% increase from the prior year, representing 63% of total revenue [25][27] - ARR at the end of Q4 was $315.4 million, reflecting a 15% organic growth, with Engagement Cloud up 19% and Operator Cloud up 12% [7][26] - Hardware revenue increased to $28 million, a 7% rise from the previous year, driven by hardware attachment into the expanding software customer base [27] Market Data and Key Metrics Changes - The company noted strong demand in the restaurant sector, particularly for AI-driven solutions, as brands face margin pressures and operational complexities [5][41] - The restaurant market is experiencing mixed traffic data, but same-store sales remain healthy, indicating a willingness to invest in technology to improve operations [48][49] Company Strategy and Development Direction - The company is positioning itself as an AI-driven hospitality platform, focusing on enhancing its product offerings and expanding its market presence [5][18] - There is a strong emphasis on cross-selling and multi-product deals, with nearly 90% of Q4 operator deals being multi-product [8][11] - The company aims to leverage AI to drive operational efficiency and enhance customer engagement, with plans to eliminate $15 million in annual operating expenses through AI-driven automation [37] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's positioning within the AI market, highlighting the operational imperative for restaurants to adopt AI technology [41][42] - The outlook for 2026 includes expectations for continued mid-teens organic ARR growth, with a stronger second half compared to the first half [34][52] - Management noted that the current environment presents a great opportunity for vendors who can provide value to help restaurants navigate cost pressures and operational challenges [49] Other Important Information - The company is facing supply chain cost pressures, particularly in hardware, due to increased demand from the AI infrastructure industry [15][30] - The company has authorized a $100 million share buyback, indicating confidence in its long-term growth prospects [75] Q&A Session Summary Question: Can you provide clarity on the opportunity set and AI investments? - Management highlighted excitement around AI investments and the operational imperative for restaurants to adopt AI technology [41] Question: How are large enterprise deals being accelerated through AI? - Management indicated that as restaurants adopt AI faster, it should accelerate sales processes for vendors providing those tools [44] Question: What is the state of the restaurant market and its impact on demand for products? - Management noted that despite mixed traffic data, the environment is conducive for investments in technology to improve operations [48] Question: How does the ARR guidance relate to new locations versus cross-sell? - Management indicated a 70/30 split between new logos and existing customer expansion, reflecting a significant change in sales strategy [72] Question: What is the plan for the $100 million share buyback authorization? - Management stated the intention to return capital to investors while maintaining flexibility for organic and inorganic growth opportunities [76]

Financial Data and Key Metrics Changes - In Q4, the company reported revenue of $120.1 million, a 14% increase year-over-year, primarily driven by subscription services and hardware revenue growth [6][24] - Full year revenue reached $455.5 million, up $105 million year-over-year, with 21% organic growth and subscription services growing 40% [6][25] - Non-GAAP net income for Q4 was $2.6 million, marking the third consecutive quarter of non-GAAP profitability [6][25] - Adjusted EBITDA for Q4 was $7 million, an improvement of $1.3 million compared to the same period in 2024 [25] Business Line Data and Key Metrics Changes - Subscription service revenue was $76 million in Q4, an 18% increase from the prior year, representing 63% of total revenue [25][27] - ARR at the end of Q4 was $315.4 million, reflecting a 15% organic growth, with Engagement Cloud up 19% and Operator Cloud up 12% [7][26] - Hardware revenue increased to $28 million, a 7% rise from the previous year, driven by hardware attachment into the expanding software customer base [27] Market Data and Key Metrics Changes - The company noted strong demand across large POS enterprise brands, including Dairy Queen and Burger King, with ongoing remodel activity and new unit growth driving consistent deployment volume [15] - The restaurant market is experiencing mixed traffic data, but same-store sales remain healthy, indicating a complex environment that necessitates investment in technology [48][50] Company Strategy and Development Direction - The company is positioning itself as an AI-driven hospitality platform, focusing on enhancing its AI capabilities to drive customer expansion and operational efficiency [5][18] - The strategy includes aggressive investment in AI products, with the goal of embedding intelligence into daily workflows to improve operational outcomes [10][37] - The company aims to eliminate approximately $15 million in annual operating expenses through AI-driven automation by the end of Q1 2026 [37] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's positioning within the AI market, highlighting the restaurant sector as a prime candidate for AI adoption due to operational challenges [41][44] - The outlook for 2026 includes expectations for continued mid-teens organic ARR growth, with a stronger second half compared to the first half of the year [34][52] - Management anticipates that the current environment, characterized by cost pressures and the need for digital transformation, will drive demand for the company's solutions [48][50] Other Important Information - The company is facing significant cost pressures on key components due to increased demand from AI infrastructure, which is expected to persist into 2027 [15][16] - The company has authorized a $100 million share buyback, indicating confidence in its long-term growth potential [77] Q&A Session Summary Question: Can you provide clarity on the opportunity set and AI investments? - Management highlighted excitement around AI investments and the restaurant sector's need for operational improvements, positioning the company as a key player in AI technology [41][44] Question: How is the restaurant market performing in terms of demand for products? - Management noted that despite mixed traffic data, the need for technology investments remains strong due to operational complexities and cost pressures [48][50] Question: What is the expected trajectory for ARR and margins in 2026? - Management expects mid-teens growth with a stronger second half, driven by new AI product launches and large tier one opportunities [52][53] Question: How is the company addressing supply chain challenges? - Management indicated that while hardware costs are rising, they are not seeing a slowdown in refresh cycles, and they are managing margins through increased volume [82]

Financial Data and Key Metrics Changes - In Q4 2025, the company reported revenue of $120.1 million, a 14% increase year-over-year, primarily driven by subscription services and hardware revenue growth [5][22] - Full year revenue reached $455.5 million, up $105 million year-over-year, with 21% organic growth and subscription services growing 40% [5][24] - Non-GAAP net income for Q4 was $2.6 million, marking the third consecutive quarter of non-GAAP profitability, with adjusted EBITDA of $7 million [5][23] - The company exited Q4 with an ARR of $315.4 million, representing 15% organic growth [6][24] Business Line Data and Key Metrics Changes - Subscription service revenue in Q4 was $76 million, an 18% increase from the prior year, representing 63% of total revenue [23][24] - Hardware revenue was $28 million, a 7% increase from the previous year, driven by hardware attachment into the expanding software customer base [25] - Professional service revenue remained relatively unchanged at $16 million [25] Market Data and Key Metrics Changes - The company noted strong demand across large POS enterprise brands, including Dairy Queen and Burger King, with ongoing remodel activity and new unit growth driving consistent deployment volume [14] - The restaurant market is experiencing mixed traffic data, but same-store sales remain healthy due to pricing leverage, indicating a complex environment for demand [46] Company Strategy and Development Direction - The company is positioning itself as an AI-driven hospitality platform, focusing on the restaurant and retail verticals, which are experiencing significant growth opportunities [4][17] - There is an emphasis on aggressive investment in AI to enhance performance and customer expansion opportunities, with a goal to embed intelligence into operational layers [10][17] - The company aims to eliminate approximately $15 million in annual operating expenses through AI-driven automation by the end of Q1 2026 [34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the AI investments and the operational imperative for restaurants to adopt AI technology amid margin pressures and labor challenges [39][46] - The company anticipates continued mid-teens organic ARR growth, with stronger performance expected in the second half of the year [32][50] - Management highlighted the importance of providing value to customers in a challenging environment, suggesting that the current market conditions favor their offerings [46] Other Important Information - The company is facing significant cost pressures on key components due to increased demand from AI infrastructure, which is expected to persist into 2027 [15][27] - The company has a share buyback authorization of $100 million, indicating a strategy to return capital to shareholders while pursuing growth opportunities [71][72] Q&A Session Summary Question: Can you provide clarity on the AI opportunities? - Management expressed excitement about AI investments and the operational imperative for restaurants to adopt AI technology, positioning the company as a leading AI platform [39] Question: How are large enterprise deals being accelerated through AI? - Management indicated that as restaurants adopt AI faster, it should accelerate sales processes for vendors providing those tools [41] Question: What is the state of the restaurant market? - Management noted a complicated environment with flat to declining traffic, but emphasized that this drives the need for investments in technology to improve operations [46] Question: How does ARR guidance relate to subscription growth? - Management expects the first half of the year to be slower, with a stronger second half driven by new product launches and large tier one opportunities [50] Question: What is the willingness of restaurant brands to make software changes? - Management reported strong interest from both large and mid-market chains in upgrading technology, driven by the need to increase frequency and cut costs [56]

OpenTable Launches New Media Network, Connecting Brands with Millions of Global Diners [Accessibility Statement] Skip NavigationOpenTable Media provides custom advertising and brand partnership solutions on the platform for the first timeSAN FRANCISCO, Feb. 24, 2026 /PRNewswire/ -- [OpenTable], a global leader in restaurant tech, today announced the launch of its new media solution, [OpenTable Media], unlocking paid partnerships and advertising on the platform. The new offering positions OpenTable as a valu ...

Core Insights - Toast Inc. reported a 33% increase in recurring gross profit and an adjusted EBITDA margin of 34% for 2025, with Q4 revenue reaching $1.6 billion, a 22.05% year-over-year improvement [1][7] - The company expanded its platform to over 164,000 locations, surpassing $2 billion in annual recurring revenue (ARR) [1][7] - Toast successfully entered new markets, signing major brands and launching in Australia, while introducing over 500 new features to enhance operational efficiency [2] Financial Performance - For 2025, Toast's recurring gross profit increased by 33%, with Q4 revenue totaling $1.6 billion, reflecting a 22.05% year-over-year growth [1][7] - The adjusted EBITDA guidance for 2026 is projected between $775 million and $795 million, with recurring gross profit growth expected to be between 20% and 22% [3] Market Expansion and Product Development - The company added more than 30,000 net locations to its platform, ending the year with a total of 164,000 locations [1] - Toast signed major brands like Applebee's and Firehouse Subs, and launched its services in Australia [2] - The introduction of over 500 new features, including the Toast IQ conversational AI assistant, aims to enhance platform value and operational efficiency [2] Challenges - Despite growth, Toast faces challenges such as higher hardware costs due to memory chip demand and tariffs, which impact SaaS ARR per location as international and enterprise segments scale [2]

Core Insights - inKind, a leading restaurant-focused app and technology company, has raised $450 million in capital to support hospitality operators in the US [1] - The company aims to expand its partnerships from 6,000 to 10,000 restaurants over the next year [1] Funding Details - The funding round includes both equity and debt, with backing from notable investors such as Peak6 founders Matt Hulsizer and Jenny Just, former Sodexo US CEO Sarosh Mistry, and Condé Nast's chief product and technology officer Vasanth Williams [2] - inKind has deployed over $600 million across various restaurant partners, including larger groups and independent entities [2] Targeted Use of Funds - The new financing will be used to expand access to capital for restaurant operators and attract guests to participating venues [3] - inKind plans to accelerate the development of its in-app dining experience for its growing subscriber base [3] Business Model - The company's model provides restaurants with upfront capital in exchange for food and beverage credits, rather than equity stakes or traditional loans [4] - Diners can buy and redeem these credits via the inKind app at partner locations through a "20% back rewards" model, positioning this approach as an alternative to conventional restaurant financing structures [4] Leadership Perspective - inKind co-founder and CEO Johann Moonesinghe emphasized the importance of supporting restaurants, stating that traditional financing models can harm equity and cash flow [5] - The company aims to offer a more sustainable funding method that helps operators maintain cash flow, access capital quickly, and build resilient businesses [5]