UPDATE: Oppenheimer Reiterates Perform Rating, Lowers PT on Google on Lack of Upside Potential

In a report published Friday, Oppenheimer analyst Jason Helfstein reiterated a Perform rating on Google GOOG, but lowered the price target from $656.00 to $632.00. In the report, Oppenheimer noted, “We are lowering our price target to $632 from $656 on higher tax-rate assumptions. GOOG reported in-line 3Q net revenue, but non-GAAP EPS was 3% below consensus on higher R&D/taxes. Website revenue had steady growth from ‘quality initiatives' intended to drive conversions and pricing at O&O properties. Network revenue decelerated to 8% y/y from 16% in 2Q. We believe the traditional network business (AdSense & Toolbars) is in decline, and AdMob & DoubleClick are driving Network growth, as advertising shifts to mobile and programmatic platforms. While results support our view that GOOG remains among the highest quality internet stocks, we believe other names in our coverage universe offer greater upside potential. Maintain Perform rating.” Google closed on Thursday at $530.03.