UPDATE: Oppenheimer Holdings Downgrades Google to Perform, Lowers PT

In a report published Friday, Oppenheimer Holdings downgraded its rating on Google

from Outperform to Perform, and lowered its price target from $800.00 to $765.00. Oppenheimer noted, “We are downgrading GOOG shares to Perform from Outperform following weaker than expected 3Q earnings, reflecting higher spending on Nexus tablet subsidies and the drag of the Motorola losses. While core advertising revenues were in line ex FX, we are reducing 4Q and 2013 non-GAAP EPS estimates by 5% and 6%, respectively, to reflect lower margins. As a result, we are reducing our price target to $765 from $800, suggesting only 10% upside from current levels. This assumes investors will value the stock at 16x 2013 non-GAAP EPS or using a market multiple on 2015, discounted back at 10%.” Google closed on Thursday at $695.00.