Shiftpixy currently holds about 70 K in cash with (20.23 M) of positive cash flow from operations. Net Loss for the year was (46.72 M) with profit before overhead, payroll, taxes, and interest of 2.22 M. The entity reported the previous year's revenue of 38.04 M. When we think about Shiftpixy's use of debt, we should always consider it together with cash and equity. Debt, in this case, can be an excellent and much better tool for Shiftpixy to invest in growth at high rates of return. However, a more frequent occurrence is when companies like Shiftpixy sell additional shares at bargain prices, diluting existing shareholders. So, Shiftpixy's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt.
Pixy stock price target free#
Debt can assist Shiftpixy until it has trouble settling it off, either with new capital or with free cash flow. Shiftpixy has a current ratio of 0.17, indicating that it has a negative working capital and may not be able to pay financial obligations when due. The company currently holds 8.35 M in liabilities with Debt to Equity (D/E) ratio of 7.95, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Shiftpixy has high likelihood to experience some financial distress in the next 2 years Shiftpixy has high historical volatility and very poor performance Shiftpixy generated a negative expected return over the last 90 days
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