UPDATE: Oppenheimer Downgrades Digital Generation to Perform

Oppenheimer has published a research report on Digital Generation DGIT and has downgraded the company from Outperform to Perform based on the company's outlook through 2012. In the report, Oppenheimer writes, "While the company's leading position in TV commercials and No. 2 position in online ads hold promise, 2012 will now be focused on opex/capex investments to build a next-generation cross-platform model. As a result, we are lowering 2012 and 2013 EBITDA by 19% and 22%, respectively, and non-GAAP EPS by 35% each. We now see the stock range-bound at 4x-6x EBITDA (vs. its current 5x) until the company can show stability in the TV business and prove its investments can drive online growth." Oppenheimer has suspended its price target on Digital Generation, which is currently trading down $2.64 from yesterday's $13.59 closing price.