UPDATE: Jefferies Lowers Target to $5.51 on Renren

Jefferies cuts its target price on Hold-rated Renren

on expectation of weak seasonality and widening operating loss. Jefferies says, "Due to Mobile Internet investment, 56.com and group-buy platform, Renren will remain loss-making for FY12. Revise down PT by 39% to USD5.51, and we estimate net cash per share of USD3. Maintain Hold. Positive surprises include faster than expected eCommerce adoption, Mobile Internet breakthrough." RENN closed at $5.51 a share on Thursday.