SunLink Health Systems Inc (NASDAQ:SSY) shares are trading higher by 13.4% to $0.68 during Tuesday's session after the company late Monday announced that its subsidiary, Southern Health Corporation of Houston, has sold the Trace Extended Care & Rehab senior care facility and related real estate in Houston, Mississippi for around $7.1 million.
The net proceeds of about $6.5 million will be used for working capital and general corporate purposes. The sale is expected to result in a pre-tax gain of approximately $5.7 million in the fourth fiscal quarter ending June 30.
This sale aligns with SunLink's strategy to position itself for a potential extraordinary transaction, such as a merger or consolidation, improve its operations, and consider selling non-performing assets. The company aims to find a strategic transaction that offers shareholders a chance for future value appreciation with acceptable risk.
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How To Buy SSY Stock
By now you're likely curious about how to participate in the market for SunLink Health Systems – 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 SunLink Health Systems, which is trading at $0.6 as of publishing time, $100 would buy you 166.67 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, SSY has a 52-week high of $1.05 and a 52-week low of $0.53.