Toast (NYSE:TOST) vs. Abacus Global Management (NYSE:ABX) Head-To-Head Comparison

Abacus Global Management (NYSE:ABX) and Toast (NYSE:TOST) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their risk, analyst recommendations, earnings, institutional ownership, valuation, dividends and profitability.

Profitability

This table compares Abacus Global Management and Toast’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Abacus Global Management	10.55%	21.03%	10.19%
Toast	7.14%	23.90%	15.77%

Insider and Institutional Ownership

82.9% of Toast shares are owned by institutional investors. 46.4% of Abacus Global Management shares are owned by company insiders. Comparatively, 10.0% of Toast shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Abacus Global Management and Toast”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Abacus Global Management	$235.24 million	4.01	$36.53 million	$0.28	34.46
Toast	$6.15 billion	3.06	$342.00 million	$0.78	46.94

Toast has higher revenue and earnings than Abacus Global Management. Abacus Global Management is trading at a lower price-to-earnings ratio than Toast, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Abacus Global Management has a beta of 0.07, meaning that its share price is 93% less volatile than the S&P 500. Comparatively, Toast has a beta of 1.72, meaning that its share price is 72% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Abacus Global Management and Toast, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Abacus Global Management	0	3	1	1	2.60
Toast	0	9	17	0	2.65

Abacus Global Management presently has a consensus price target of $12.00, suggesting a potential upside of 24.35%. Toast has a consensus price target of $39.00, suggesting a potential upside of 6.53%. Given Abacus Global Management’s higher probable upside, equities research analysts plainly believe Abacus Global Management is more favorable than Toast.

Summary

Toast beats Abacus Global Management on 10 of the 15 factors compared between the two stocks.

About Abacus Global Management

Abacus Life, Inc. operates as an alternative asset manager specializing in life insurance products. It purchases life insurance policies from consumers seeking liquidity and manages policies over time via trading, holding, and/or servicing. The company was founded in 2004 and is based in Orlando, Florida.

About Toast

Toast, Inc. operates a cloud-based digital technology platform for the restaurant industry in the United States, Ireland, and India. The company offers software products for restaurant operations and point of sale, such as Toast POS, Toast now, multi-location management, kitchen display system, Toast mobile order and pay, Toast catering and events, Toast invoicing, Toast tables, and restaurant retail; and hardware products, including Toast flex, Toast flex for guest, Toast go 2, Toast tap, kiosks, and Delphi by Toast. It provides toast online ordering and toast takeout, first-party delivery toast delivery services, and third-party delivery integrations and orders hub; and loyalty, email marketing, and toast gift cards. In addition, the company offers payroll and team management, Sling by Toast, Toast pay card and payout, and tips manager, as well as partner-enabled products comprising insurance and benefits; supply chain and accounting products, such as xtraCHEF by toast; and financial technology solutions consisting of payment processing, toast capital, and purchase plans. Further, it offers reporting and analytics, Toast shop, and Toast partner connect and application programming interfaces. The company was formerly known as Opti Systems, Inc. and changed its name to Toast, Inc. in May 2012. Toast, Inc. was incorporated in 2011 and is headquartered in Boston, Massachusetts.