ShiftPixy Inc. [NASDAQ: PIXY] stock went on an upward path that rose over 21.05% on Friday, amounting to a one-week price increase of more than 33.72%. The company report on May 14, 2021 that ShiftPixy, Inc. Announces Pricing of $12 Million Private Placement Priced At-The-Market under Nasdaq Rules.
ShiftPixy, Inc. (the “Company”) (Nasdaq: PIXY), a Florida-based staffing enterprise, which designs, manages, and sells access to a disruptive, revolutionary platform that facilitates employment in the rapidly growing Gig Economy, announced that it has entered into a securities purchase agreement with a large institutional investor for a private placement of common stock and warrants exercisable for common stock expected to result in gross proceeds to the Company of approximately $12 million before deducting placement agent commissions and other transaction-related expenses payable by the Company. In the private placement, the Company has agreed to sell (i) 2,320,000 shares of its common stock together with warrants to purchase up to 2,320,000 shares of common stock, and (ii) 2,628,453 pre-funded warrants with each pre-funded warrant exercisable for one share of common stock, together with common warrants to purchase up to 2,628,453 shares of common stock. Each share of common stock and accompanying common warrant are being sold together at a combined offering price of $2.425, and each pre-funded warrant and accompanying common warrant are being sold together at a combined offering price of $2.4249. The pre-funded warrants will be immediately exercisable, at a nominal exercise price of $0.0001, and may be exercised at any time until all of the pre-funded warrants are exercised in full. The common warrants will have an exercise price of $2.425 per share, will be exercisable upon issuance and will expire five years from the date of an effective registration statement covering the shares underlying the warrants.
The Company intends to use the net proceeds from the private placement for general corporate purposes, including working capital, operating expenses, and capital expenditures, as well as for certain expenses associated with the sponsorship by its wholly-owned subsidiary, ShiftPixy Investments, Inc., of certain special purpose acquisition companies (“SPACs”), as previously announced. The private placement is expected to close on or about May 17, 2021, subject to customary closing conditions.
Over the last 12 months, PIXY stock dropped by -35.99%.
The market cap for the stock reached $59.62 million, with 32.75 million shares outstanding and 7.67 million shares in the current float. Compared to the average trading volume of 3.29M shares, PIXY stock reached a trading volume of 7606255 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on ShiftPixy Inc. [PIXY]:
The Average True Range (ATR) for ShiftPixy Inc. is set at 0.33, with the Price to Sales ratio for PIXY stock in the period of the last 12 months amounting to 6.77.
PIXY Stock Performance Analysis:
ShiftPixy Inc. [PIXY] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 33.72. With this latest performance, PIXY shares gained by 43.15% in over the last four-week period, additionally plugging by 46.81% over the last 6 months – not to mention a drop of -35.99% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for PIXY stock in for the last two-week period is set at 71.67, with the RSI for the last a single of trading hit 82.10, and the three-weeks RSI is set at 64.94 for ShiftPixy Inc. [PIXY]. The present Moving Average for the last 50 days of trading for this stock 2.51, while it was recorded at 2.84 for the last single week of trading, and 2.92 for the last 200 days.
Insight into ShiftPixy Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and ShiftPixy Inc. [PIXY] shares currently have an operating margin of -208.69 and a Gross Margin at +7.93. ShiftPixy Inc.’s Net Margin is presently recorded at -1046.84.
Reflecting on the efficiency of the workforce at the company, ShiftPixy Inc. [PIXY] managed to generate an average of -$1,966,696 per employee. Receivables Turnover for the company is 1.40 with a Total Asset Turnover recorded at a value of 0.42.ShiftPixy Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.60 and a Current Ratio set at 0.60.
ShiftPixy Inc. [PIXY] Insider Position Details
There are presently around $3 million, or 4.50% of PIXY stock, in the hands of institutional investors. The top three institutional holders of PIXY stocks are: VANGUARD GROUP INC with ownership of 220,523, which is approximately 27.151% of the company’s market cap and around 63.30% of the total institutional ownership; SUSQUEHANNA INTERNATIONAL GROUP, LLP, holding 160,447 shares of the stock with an approximate value of $0.55 million in PIXY stocks shares; and RENAISSANCE TECHNOLOGIES LLC, currently with $0.51 million in PIXY stock with ownership of nearly New of the company’s market capitalization.
Positions in ShiftPixy Inc. stocks held by institutional investors increased at the end of July and at the time of the July reporting period, where 13 institutional holders increased their position in ShiftPixy Inc. [NASDAQ:PIXY] by around 598,653 shares. Additionally, 7 investors decreased positions by around 1,028,699 shares, while 2 investors held positions by with 680,112 shares. The mentioned changes placed institutional holdings at 947,240 shares, according to the latest SEC report filing. PIXY stock had 10 new institutional investments in for a total of 471,293 shares, while 3 institutional investors sold positions of 999,473 shares during the same period.