01:00 PM EDT, 06/11/2025 (MT Newswires) -- Snap (SNAP) is now expected to report higher revenue for 2025 than previously estimated, despite continued near-term uncertainty, Oppenheimer said in a note e-mailed Wednesday.

The brokerage now projects the social media platform's full-year revenue at $5.87 billion, up from its prior outlook of roughly $5.8 billion. The current consensus on FactSet is for sales of $5.85 billion.

Oppenheimer anticipates the parent of social-media app Snapchat to record annual revenue gains of 7% each in the second and third quarters, up from its previous growth estimates of 3% and 5%, respectively. The previous forecast was set during a "more uncertain economic outlook," analysts, including Jason Helfstein, said in a note to clients. The brokerage reiterated its 10% growth view fourth-quarter revenue.

Oppenheimer maintained its perform rating on the Snap stock. The company's shares were up 3.3% in Wednesday afternoon trade.

"However, we believe the company is still facing uncertainty, even though the product pipeline is progressing," the analysts said.

In April, Snap reported better-than-expected first-quarter results, but opted not to share financial guidance for the second quarter due to being uncertain with how the macro environment would evolve in the months ahead.

"While our top-line revenue has continued to grow, we have experienced headwinds at the start of the current quarter, and we believe it is prudent to continue to balance our level of investment with realized revenue growth," Chief Financial Officer Derek Andersen said on an earnings call in April, according to a FactSet transcript.

Oppenheimer sees "modest headwinds" from TikTok budgets that benefited Snap in the first quarter and continues to expect Sponsored Snaps to be a tailwind in the second half, albeit small. The company is contemplating a price hike for the Snapchat+ service amid decelerating subscribers, Oppenheimer said. Assuming a $1 monthly price increase, this would represent an incremental $180 million of revenue, according to the note.

"Snap remains focused on growing its direct-response business through new products, while brand remains a headwind," the brokerage said.

Price: 8.76, Change: +0.27, Percent Change: +3.12