Needham analyst Scott Berg downgraded Cornerstone OnDemand to Buy from Strong Buy with an unchanged price target of $70. The analyst cites valuation for the downgrade ahead of the company's Q4 results. However, his Q4 industry work suggests Cornerstone's sales trends remain strong. Cornerstone's demand environment remains healthy and at least in line with positive recent results, Berg tells investors in a research note. The analyst, who still sees 18% upside in the shares, believes his "valuation discount thesis versus rapidly improving model profitability has somewhat played out."