Snap Inc. (NYSE:SNAP) shares were trading lower most of the day, but finally recovered and closed 1% higher. This was followed by the company’s reported Q1 results, with revenue coming in at $1.06 billion, slightly lower than the consensus estimate of $1.07 billion. Quarterly EPS came in at ($0.02), missing the consensus estimate of $0.01.

Net adds were similar to Q4, with Daily Active Users (DAU) growing 18% year-over-year (332 million) vs. Q4 growth of 20%, ahead of guidance.

Analysts at Oppenheimer revised their estimates on the company following the results, lowering their 2022/2023 revenue estimates by 4%/9% on expected adverting demand softening. The analysts also lowered their 2022/2023 EBITDA by 33%/36% on decreased revenue outlook and continued strong investment in capturing the market opportunity ahead.

As a result, their price target moved to $40 from $55, while the outperform rating was reiterated.