Shares of The Beauty Health (NASDAQ:SKIN) are trading 13.3% lower at $10.84 Wednesday afternoon, after several brokerages lowered their price targets on the company following its Q1 results.

SKIN stock had gained ~11% in the previous session ahead of its results after hours.

SKIN reported Q1 GAAP EPS of -$0.13 which missed estimates by $0.12, though revenue of $75.42M beat expectations by $7.27M. The company also raised its 2022 net sales guidance to a range of $330M-$340M from $320M-$330M previously.

However, SKIN’s total operating expenses more than doubled Y/Y to $64.9M, with the majority of that driven by selling, general and administrative expenses which rose due to increased investment in global personnel, stock-based compensation and advertising expenses.

The company also said it expects continued headwinds from global supply chain challenges and inflationary pressures to weigh on gross margin through 2022, specifically higher shipping costs.

“Given depressed valuations among the broader beauty and wellness peer group and weakening GDP and consumer sentiment across the globe, we’re lowering the multiple we’re using for SKIN today to ~7x FY’23E sales vs. ~9x previously, bringing our PT to $24 from $26,” said Piper Sandler analyst Korinne Wolfmeyer, who reiterated an overweight rating on SKIN.

DA Davidson cuts its PT on SKIN to $24 from $35, while Canaccord lowers its PT to $22 from $27.