analyticsVertical SaaS
Data as of Q4 2025
Summary Verdict
TOST: 0—SHOP: 5wins
Rule of 40
34.5TOST
47.5SHOP
check_circleSHOP leads
Revenue Growth
24.1%TOST
30.1%SHOP
check_circleSHOP leads
Gross Margin
26%TOST
48%SHOP
check_circleSHOP leads
FCF Margin
10.5%TOST
17.4%SHOP
check_circleSHOP leads
Operating Margin
4.8%TOST
12.7%SHOP
check_circleSHOP leads
NRR
—TOST
—SHOP
Metric
Rule of 40Efficiency score
TOST
34.5
SHOP
47.5check_circle
Revenue GrowthYoY
TOST
24.1%
SHOP
30.1%check_circle
Gross Margin% of revenue
TOST
26%
SHOP
48%check_circle
FCF MarginFree cash flow
TOST
10.5%
SHOP
17.4%check_circle
Operating MarginGAAP
TOST
4.8%
SHOP
12.7%check_circle
NRRNet retention
TOST
N/A
SHOP
N/A
EV / RevenueValuation multiple
TOST
2.6xcheck_circle
SHOP
15.1x
Market CapUSD
TOST
$17.2B
SHOP
$175.8Bcheck_circle
ARR GrowthYoY
TOST
N/A
SHOP
N/A
CAC PaybackMonths to recover
TOST
N/A
SHOP
N/A
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insights
Analysis
As of Q4 2025, Toast, Inc. trades at 2.6x EV/Revenue versus Shopify Inc. at 15.1x. On the Rule of 40, Toast, Inc. scores 34.5 compared to Shopify Inc.'s 47.5, placing Shopify Inc. ahead in operating efficiency. Gross margins stand at Toast, Inc. 26% vs Shopify Inc. 48%.
Sector Context
Both companies operate in the Vertical SaaS sector. The median columns above show where each company stands relative to their peers.