Life Time Group Holdings, Inc. (NYSE:LTH) shares dropped more than 10% on Friday following the company’s Q4 results, with EPS of ($1.64) coming in worse than the consensus estimate of ($0.41). Revenue was $360.5 million, compared to the consensus estimate of $356.92 million. The company’s Q4 comp growth of 52% was roughly in line with expectations, though profitability was lower than expected, due in part to additional club investments.

As expected, Q1 will be impacted by Omicron headwinds, though these appear to have largely passed. Looking ahead, the company should see further tailwinds from reduced COVID restrictions and pricing benefits from new club openings and legacy dues increases.

Despite a tough start to the year, the analysts at RBC Capital still see the company as an attractive reopening play, maintaining their outperform rating while lowering their price target to $16 from $21.