UPDATE: Oppenheimer Downgrades Tremor Video to Perform, Lowers PT as Value Proposition is at Risk Without Strong Programmatic Offering

In a report published Friday, Oppenheimer analyst Jason Helfstein downgraded the rating on

from Outperform to Perform, and lowered the price target from $12.00 to $6.25. In the report, Oppenheimer noted, “Following weaker than expected 3Q results and guidance, we're downgrading TRMR shares to Perform from Outperform and cutting our PT to $6.25. Management comments suggest TRMR lost 4Q inventory to Upfront buys, and is being squeezed in the middle, as tech savvy advertisers shift to programmatic video buying, while less savvy advertisers/agencies continue demographic-based buying on NLSN or SCOR data. Although TRMR has launched a programmatic buying platform, the near-term impact is small. Therefore, we see the stock as range-bound at 1-2x based on YUME, MM and VCLK valuations. Our $6.25 PT is based on 1.5x '15E sales.” Tremor Video closed on Thursday at $9.26.