As previously reported, Needham analyst Scott Berg downgraded Cornerstone OnDemand to Buy from Strong Buy to reflect near term stock volatility expected around a less certain deal environment and optically lower revenue growth year in 2017. The analyst notes that the company reported a "strong" Q3 revenue and EPS beat, but lowered Q4 estimates. Berg believes long term fundamentals of a favorable competitive environment, well positioned product, strong end market demand, and improving profitability are intact which likely drives the stock higher once the short term sales pressures subside. He also lowered his price target on the shares to $43 from $52.