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  "docSlug": "9c995cfa26e4",
  "documentTitle": "Porch Group Inc (PRCH)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2021-04-08 00:00:00",
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  "notes": "Uses a red flag icon and callouts to highlight specific accounting inconsistencies.",
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      "kind": "callout",
      "text": "Non-cash stock comp more than total stock comp!",
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      "kind": "callout",
      "text": "In our opinion, Porch gave a long-winded and non-sensical explanation, as to why it booked $33m as stock-based compensation expense when Lowe's sold a portion of its equity for $4.0 million ($0.25 per share) to CEO Ehrlichman.",
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      "kind": "callout",
      "text": "Large $33.2m add-back from suspicious accounting from Lowe's selling stake?",
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      "text": "Adjusted EBITDA: $33m",
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      "kind": "paragraph",
      "text": "We Believe Porch's Response To SEC Question Sounds Ludicrous",
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      "kind": "quote",
      "text": "CEO has no idea why one of his biggest investors might want out? Really!",
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      "kind": "source-note",
      "text": "Source: Porch Prospectus Jan 29, 2021",
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      "kind": "source-note",
      "text": "Source: Porch and PROPTECH Response To SEC Comment Letter: Nov 16, 2020",
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      "kind": "table",
      "text": "Reconciliation of Net loss to Adjusted EBITDA showing 2019 and 2018 figures.",
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      "kind": "title",
      "text": "Shady Accounting Even Porch Can't Consistently Justify",
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      "structure": "The Symptom (Visible) -> The System (Hidden) -> The Root Cause",
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