UPDATE: Goldman Sachs Downgrades Hill-Rom Holdings on Outperformance

In a report published on Tuesday, Goldman Sachs analyst David H. Roman downgraded Hill- Rom Holdings (NYSE: HRC) from Conviction Buy to Neutral and reduced the price target from $38 to $36.

In the report, Goldman Sachs noted, "US hospital capex looks to be in a holding pattern, as customers look to better understand the changing dynamics around healthcare reform. The environment does not look to be as dire as the 2008-2009 credit crunch; however, the prospects for improved growth do not look to be on the near-term horizon. For Hill-Rom specifically, around 57% of sales is leveraged to North American hospital capex trends, and that business has been down 8% yoy on average over the past five quarters".

Hill-Rom Holdings closed on Monday at $34.48.