TOST Stock Tumbles As Square Rolls Out AI Voice Kiosk Aimed At Restaurants

• Square’s system understands a quick-service restaurant’s full menu in real time and lets customers place, modify, and complete orders through conversation. 
• Square Kiosk is priced at $1,999 plus a $99 monthly software fee per device.
• Toast builds technology specifically for restaurants, including its own kiosks that allow guests to place an order and pay on a touchscreen without waiting for counter staff.

Shares of Toast Inc. (TOST) fell more than 4.5% in midday trading on Wednesday after Block’s Square unit unveiled a new intelligent self-service kiosk aimed squarely at the restaurant market Toast has long dominated.

Square Unveils Conversational AI Kiosk

Square, the point-of-sale and payments brand owned by Block Inc. (XYZ), introduced Square Kiosk, a flagship self-ordering terminal that combines a large 21.5-inch touchscreen with a conversational voice layer.

The system understands a quick-service restaurant’s full menu in real time and lets customers place, modify, and complete orders through conversation; they can ask about ingredients, request substitutions, or receive suggestions, rather than relying solely on screen taps.

Square Kiosk is priced at $1,999 plus a $99 monthly software fee per device; the kiosk also requires a Square Plus or Premium subscription. Square positioned the product for quick-service restaurants facing peak-hour pressure and labor constraints, arguing it delivers a more service-like experience while reducing front-of-house strain and helping grow the value of orders.

Why Does This Matter To Toast

Toast builds technology specifically for restaurants, including its own kiosks that allow guests to place an order and pay on a touchscreen without waiting for counter staff. Investors are now concerned about added competition to the business with Square’s entry into the same category.

In the second quarter, Toast reported total revenue of $1.91 billion, up 23%, driven by fintech solutions and subscriptions, and net income of $154 million, up 93%.  Gross payment volume increased 22% to $60.7 billion in the quarter, and the company subsequently hiked its full-year adjusted core profit outlook to $805-$825 million from its previous estimate of $790-$810 million.

How Did TOST Retail Traders React?

On Stocktwits, retail sentiment around TOST stock stayed within the 'bearish' territory over the past 24 hours, while message volume stayed at 'low' levels.

A Stocktwits user termed the stock volatile and expressed disappointment about the stock pulling back on slow gains made in recent days.

TOST stock has dropped 17% year-to-date. 

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