Why ShiftPixy (PIXY) Stock Is Rising

ShiftPixy Inc (NASDAQ:PIXY) shares are trading higher by 11.7% to $9.15 during Wednesday’s session after the company signed an LOI to acquire TurboScale.

What To Know: ShiftPixy earlier Wednesday issued an update regarding its plans to acquire TurboScale, a company specializing in AI technology and scalable GPU cloud infrastructure.

On October 16, ShiftPixy entered a non-binding LOI to purchase TurboScale for $150 million, comprising $75 million in stock and $75 million in debt. The company says this acquisition aligns with ShiftPixy's strategy to enhance its platform capabilities and drive innovation in the Gig Economy through artificial intelligence.

What Else: The completion of the acquisition is contingent upon several factors, including the negotiation of definitive agreements, board and shareholder approval and customary closing conditions. There is no guarantee that the acquisition will proceed as outlined in the LOI.

TurboScale offers a platform for deploying AI models, enabling businesses to efficiently manage AI solutions from small projects to large-scale operations.

ShiftPixy meanwhile said the company anticipates that integrating TurboScale's technology could significantly improve its staffing efficiency and labor forecasting, providing advanced workforce solutions to clients across various industries.

How To Buy PIXY Stock

By now you're likely curious about how to participate in the market for ShiftPixy – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy ‘fractional shares,' which allows you to own portions of stock without buying an entire share. For example, some stock, like Berkshire Hathaway, or Amazon.com, can cost thousands of dollars to own just one share. However, if you only want to invest a fraction of that, brokerages will allow you to do so.

In the the case of ShiftPixy, which is trading at $8.77 as of publishing time, $100 would buy you 11.4 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to ‘go short' a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

According to data from Benzinga Pro, PIXY has a 52-week high of $228.45 and a 52-week low of $5.43.

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