UPDATE: Jefferies Downgrades Facebook to Hold on Expense Outlook

Jefferies downgraded Facebook FB from Buy to Hold and lowered the price target from $32.00 to $30.00. Jefferies noted, "We are downgrading FB to Hold as management warns of significantly higher expense levels in 2013 as a result of aggressive hiring and investment plans. While we are broadly supportive of Facebook's longer-term strategy, the material increase in 2013 spending pressures valuation, making the stock less attractive to own on a near-term basis, in our opinion." Facebook closed at $31.24 on Wednesday.