UBS analyst Eric Sheridan downgraded Snap (SNAP) to Sell and cut his price target for the shares to $7 from $12 following last night’s Q3 results.

The camera company is down 19%, or $2.88, to $12.24 in premarket trading. In a post-earnings research note titled “SNAP Crackle Flop,” Sheridan says he finds it very likely that Snap will continue to struggle on “multiple fronts” in the coming 12 months. A redesigned app could bring opportunity but also platform disruption, Sheridan writes.

He believes trying to scale its ad business amid “tepid” user growth while competing against Alphabet (GOOG), Facebook (FB) and Amazon.com (AMZN) is likely going to prove difficult for Snap.