Jim Cramer on Toast (TOST): “They’ve Got a Great Device, But You Know What, That’s Not Enough”

Toast, Inc. (NYSE:TOST) is one of the stocks Jim Cramer looked at recently. When a club member expressed that they are in pain due to their position in the stock, Cramer commented:

Yeah, you know what, boy, that stock has just really come down. They’ve got a great device, but you know what, that’s not enough. And I’ve always been suspicious of it because I still think you can trade back and forth. It’s got a good device, but a device does not make a great stock.

Jim Cramer on Toast (TOST): “They’ve Got a Great Device, But You Know What, That’s Not Enough”

PureSolution/Shutterstock.com

Toast, Inc. (NYSE:TOST) provides a cloud-based technology platform that supports restaurant operations through point-of-sale, payroll, supply chain, and accounting solutions. Harbor Capital Appreciation Fund stated the following regarding Toast, Inc. (NYSE:TOST) in its third quarter 2025 investor letter:

We initiated a position in Toast, Inc. (NYSE:TOST), a leader in cloud-based restaurant technology serving a large, under-penetrated market. Toast provides an integrated platform for point-of-sale, payments, operations, and guest engagement, helping restaurants improve efficiency, streamline workflows, and enhance the customer experience. Expansion into enterprise and international markets, along with a strong recurring revenue model, position Toast for profitable growth potential.

While we acknowledge the risk and potential of TOST as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TOST and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.