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  "documentTitle": "Hill-Rom Holdings, Inc. (HRC)",
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  "authorName": "Ben Axler",
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  "presentationDate": "2019-10-29 00:00:00",
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      "text": "We are concerned that Hill-Rom may similarly demonstrate margin contraction and slowed FCF growth in coming quarters as management is forced to make up for seemingly-delayed spending on capex and R&D.",
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      "text": "Timing of Spruce Point call",
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      "text": "Spruce Point has made numerous successful short calls on companies in which we have identified poor capex guidance and capital spending patterns – notably Gentex (GNTX), Caesarstone (CSTE), and A.O. Smith (AOS). In each of these instances, chronic capex mis-forecasting was a leading indicator of future margin, earnings, and free cash flow contraction. We are concerned that Hill-Rom may similarly demonstrate margin contraction and slowed FCF growth in coming quarters as management is forced to make up for seemingly-delayed spending on capex and R&D.",
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      "kind": "source-note",
      "text": "Source: Bloomberg and Company Financials",
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      "text": "Poor Capex Guidance A Leading Indicator Of Margin Contraction",
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