eMarketer cut Snap’s 2017 revenue estimate by almost 4 percent

Research firm eMarketer dropped its 2017 revenue estimates for Snap based on the company’s recently filed IPO paperwork.

EMarketer projects that Snap will bring in $770 million in advertising revenue in the U.S., or 1.3 percent of all projected U.S. mobile ad revenue for the year. That’s down from the $804 million eMarketer projected for Snap back in January.

That change brings eMarketer’s total revenue projection for Snap to just over $900 million for the year, down from $935 million six weeks ago. That’s a difference of a bit more than 3.6 percent.

The reason for the change? Snap had “higher-than-estimated revenue sharing with partners,” eMarketer wrote in a study published Tuesday.

Snap paid its publishing partners $58 million last year, and often splits revenue with them in exchange for content that they create specifically for Snapchat. (The company is looking for alternatives to these revenue-sharing deals, though.)

Take these numbers with a grain of salt, of course. Snap has been public for less than two weeks, and eMarketer’s projections are just that — projections.

Others, like Goodwater Capital, project that Snap will bring in $1.1 billion in 2017. Investors and company insiders have told Recode in the past that Snap projects to be a $1 billion business this year.

So the estimates can range.

But many believe that Snap’s stock is already overvalued — it has a market cap of more than $24 billion, more than double Twitter’s, which did six times Snap’s revenue last year. So investors are watching Snap closely, and estimates from well-known research firms don’t go unnoticed.

This article originally appeared on Recode.net.