Mahaney trimmed his Q1 EPS estimate to $4.50, from $4.65. For all of 2008, he goes to $19.08, from $20. His 2009 estimate drops to $23.79, from $25. And for 2010, he goes to $28.90, from $30.10. Mahaney maintains a Buy rating on the stock, but cuts his price target to $600 from $625.

Mahaney says he now sees paid clicks in the first quarter flat sequentially with Q4, and up 16% year over year; he had been looking for up 4% sequentially and up 20% versus a year earlier.

Google today is down $4.5, or 1%, at $433.60