PL

Planet Labs

$22.09

-11.29%
Jul 16, 2026
Bobby Quantitative Model
Planet Labs PBC is an Earth-imaging company that operates a constellation of satellites to capture daily imagery of the Earth's surface, providing data and analytics to governments, businesses, and communities. As a pioneer in daily global monitoring, it holds a unique competitive position as the only provider of high-frequency, planet-scale imagery, leveraging machine learning to deliver actionable insights. The current investor narrative centers on the company's accelerating revenue growth, driven by expanding government and defense contracts, alongside a path to profitability that has captured market attention. Recent news highlights a sector-wide re-rating spurred by SpaceX's IPO and a government-ordered halt of satellite data that underscores its strategic value to national security clients.

People also watch

SpaceX

SpaceX

SPCX

Analysis
GE Aerospace

GE Aerospace

GE

Analysis
RTX

RTX

RTX

Analysis
Boeing

Boeing

BA

Analysis
Lockheed Martin

Lockheed Martin

LMT

Analysis

PL 12-Month Price Forecast

Historical Price
Current Price $22.09
Average Target $22.09
High Target $25.40
Low Target $18.78

Wall Street consensus

Most Wall Street analysts maintain a constructive view on Planet Labs's 12-month outlook, with a consensus price target around $40.10 and implied upside of +81.5% versus the current price.

Average Target

$40.10

0 analysts

Implied Upside

+81.5%

vs. current price

Analyst Count

covering this stock

Price Range

$25 - $53

Analyst target range

Planet Labs is covered by 10 analysts, with a consensus recommendation of 'Buy' (mean rating of 2.0 on a 1-5 scale, where 1 is Strong Buy). The average price target is $40.10, implying a 61.0% upside from the current price of $24.90. The distribution leans bullish, with 5 Buy ratings, 4 Outperform/Neutral, and 1 Sell (implied by the mean). The high target of $53.00 suggests a potential 112.9% upside, likely assuming sustained revenue acceleration and margin expansion as the company scales. The low target of $25.00 is essentially at the current price, indicating downside risk if growth disappoints or competition intensifies. The spread between high and low ($28.00) is wide, reflecting high uncertainty typical of early-stage space companies. Recent ratings actions show stability: Goldman Sachs maintains Neutral, Wedbush and Needham reiterate Buy/Outperform, and no downgrades have occurred in the past three months, suggesting analysts remain confident despite the stock's decline. However, the wide target range and the recent sell-off imply that the market is pricing in more risk than the analyst consensus, which could present an opportunity if the company delivers on its growth trajectory.

Drowning in data?

Find the real signal!

Bulls vs Bears: PL Investment Factors

Planet Labs presents a high-risk, high-reward opportunity. The bull case is anchored by accelerating revenue growth (42% YoY), positive free cash flow, deep government ties, and a consensus analyst 'Buy' rating with 61% upside. The bear case highlights persistent unprofitability, extreme valuation premium (24.98x PS vs. industry 2.5x), high leverage, and a recent 52% stock crash. The single most important tension is whether the company can translate its revenue growth into sustainable profitability and margin expansion. If it does, the stock could re-rate significantly; if not, the premium valuation could compress further. Currently, the evidence slightly favors the bull case given the growth trajectory and analyst support, but the risk is substantial.

Bullish

  • Revenue Growth Accelerating to 42% YoY: Q1 2027 revenue of $94.15 million grew 42.1% year-over-year, the fourth consecutive quarter of accelerating growth, up from 10.8% in the prior-year quarter. This outpaces the Aerospace & Defense industry average of 5-10%, signaling strong commercial and government demand.
  • Positive Free Cash Flow Achieved: Trailing twelve-month free cash flow turned positive at $47.2 million, a significant improvement from negative FCF in prior periods. This milestone suggests the company is moving toward self-sufficiency and reduces reliance on external financing.
  • Deep National Security Ties Confirmed: A government-ordered halt of satellite data in April 2026 validated Planet Labs' strategic value to U.S. national security agencies, likely securing long-term, high-margin contracts. This deepens revenue visibility and barriers to entry.
  • Analyst Consensus 'Buy' with 61% Upside: The average analyst price target of $40.10 implies 61.0% upside from the current price of $24.90, with 5 Buy and 4 Outperform ratings. The high target of $53.00 suggests potential 112.9% upside if growth and margins improve.

Bearish

  • Deeply Unprofitable with Negative Margins: Net loss of $138.9 million in Q1 2027 and net margin of -147.5% highlight persistent unprofitability. Operating margin of -37.1% indicates high R&D and SG&A costs that continue to outpace revenue growth, delaying profitability.
  • Extreme Valuation Premium vs. Peers: Trailing PS ratio of 24.98x is a 900% premium to the Aerospace & Defense industry average of ~2.5x. Even the forward PS of 9.1x is significantly above the sector, leaving little room for error if growth decelerates.
  • High Leverage and Debt-to-Equity: Debt-to-equity ratio of 2.45 indicates significant leverage, raising financial risk if growth stalls or interest rates remain high. Current ratio of 1.65 provides some liquidity buffer but is not robust.
  • Recent Stock Crash and Dilution Concerns: The stock plummeted from a 52-week high of $51.76 to $24.90, a 51.9% decline, driven by unmet market expectations and a dilutive share offering. The 1-month price change of -18.6% and 3-month change of -37.6% reflect severe selling pressure.

PL Technical Analysis

Planet Labs is in a sharp downtrend from its 52-week high of $51.76, with the current price of $24.90 representing just 48.1% of the 52-week range. The 1-year price change of +287.2% masks a severe pullback from the May 2026 peak, and the stock now sits near the lower end of its range, suggesting a potential value opportunity but also reflecting significant selling pressure. The 52-week low of $5.87 provides a distant floor, while the high marks a resistance level that seems far off given the current momentum. Short-term momentum is decisively bearish: the 1-month price change is -18.6%, and the 3-month change is -37.6%, both sharply underperforming the S&P 500's respective gains of +0.6% and +6.3%. This divergence from the longer-term 1-year gain of +287.2% indicates a severe correction that could be a mean-reversion setup or the start of a deeper downtrend, depending on whether the stock can stabilize. The RSI is not provided, but the rapid decline suggests oversold conditions may be emerging. Key support lies at the 52-week low of $5.87, a level that would represent a catastrophic 76% decline from current levels. Resistance is at the 52-week high of $51.76, and a break above that would signal a resumption of the long-term uptrend. The stock's beta of 2.067 indicates it is more than twice as volatile as the S&P 500, meaning it will amplify market moves—a critical factor for risk management in a volatile sector like space.

Beta

2.07

2.07x market volatility

Max Drawdown

-57.0%

Largest decline past year

52-Week Range

$6-$52

Price range past year

Annual Return

+242.5%

Cumulative gain past year

PeriodPL ReturnS&P 500
1m-21.7%+0.1%
3m-42.6%+5.7%
6m-23.2%+8.5%
1y+242.5%+20.3%
ytd+8.2%+10.1%

Bobby - Your AI Investment Partner

Get real-time data, AI-driven personalized investment analysis to make smarter investment decisions

PL Fundamental Analysis

Planet Labs' revenue trajectory is strongly accelerating, with Q1 2027 (April 30, 2026) revenue of $94.15 million growing 42.1% year-over-year, up from 10.8% growth in the prior-year quarter. This marks the fourth consecutive quarter of accelerating growth, driven by increased government and defense contracts, as evidenced by the recent news of a government-ordered data halt that confirms deep national security ties. The multi-quarter trend shows revenue rising from $61.3 million in Q2 2025 to $94.2 million in Q1 2027, a 53.6% increase over six quarters, indicating strong commercial momentum. The company remains unprofitable, with a net loss of $138.9 million in Q1 2027, though this loss narrowed from $152.5 million in Q4 2026. Gross margin improved to 53.5% from 54.2% in the prior quarter, but operating margin remains deeply negative at -37.1%, reflecting high R&D and SG&A costs. The net margin of -147.5% is typical for a growth-stage space company, but the trajectory toward profitability is unclear as operating expenses continue to outpace revenue growth. Planet Labs has a debt-to-equity ratio of 2.45, indicating significant leverage, but it generated positive free cash flow of $47.2 million on a trailing twelve-month basis, a notable improvement from negative FCF in prior periods. The current ratio of 1.65 suggests adequate liquidity, and cash from operations turned positive at $15.4 million in Q1 2027, up from negative $6.3 million a year ago. However, the ROE of -131.0% reflects persistent losses relative to equity, and the company's reliance on debt financing (debt-to-equity of 2.45) raises financial risk if growth stalls.

Quarterly Revenue

$94150000.0B

2026-04

Revenue YoY Growth

+42.1%

YoY Comparison

Gross Margin

53.5%

Latest Quarter

Free Cash Flow

$47158000.0B

Last 12 Months

Revenue & Net Income Trends (2 Years)

Revenue Breakdown

Reportable Segment

Open an Account, get $2 TSLA now!

Valuation Analysis: Is PL Overvalued?

Since Planet Labs has negative net income (EPS of -$0.40), the price-to-sales (PS) ratio is the primary valuation metric. The trailing PS ratio is 24.98x, while the forward PS ratio (based on estimated revenue of $846.8 million) is approximately 9.1x, implying the market expects significant revenue growth to justify the current valuation. The gap between trailing and forward PS suggests aggressive growth expectations baked into the price. Compared to the Aerospace & Defense industry average PS ratio of roughly 2.5x (based on sector data), Planet Labs trades at a 900% premium, reflecting its high-growth, asset-light model and unique market position. This premium is partially justified by its 42% revenue growth rate, which far exceeds the industry average of around 5-10%, but it also prices in substantial future profitability improvements. Historically, Planet Labs' PS ratio has ranged from a low of 8.06x in Q1 2025 to a high of 135.7x in Q1 2027, with the current 24.98x near the lower end of its historical band. This suggests the stock is relatively cheap compared to its own history, potentially indicating a value opportunity if growth continues, but it also reflects the market's skepticism about near-term profitability given the recent sell-off.

PE

-31.2x

Latest Quarter

vs. Historical

N/A

5-Year PE Range 17x~59x

vs. Industry Avg

N/A

Industry PE ~N/A*

EV/EBITDA

-40.2x

Enterprise Value Multiple

Investment Risk Disclosure

Financial & Operational Risks: Planet Labs faces significant financial risks from persistent losses and high leverage. The net loss of $138.9 million in Q1 2027 and net margin of -147.5% indicate the company is still far from profitability. The debt-to-equity ratio of 2.45 is elevated, and while free cash flow turned positive at $47.2 million TTM, it remains thin relative to the market cap of $7.7 billion. Revenue concentration in government contracts (as evidenced by the data halt news) poses a risk if budget priorities shift. The operating margin of -37.1% shows that operating expenses are growing faster than revenue, delaying the path to breakeven.

Market & Competitive Risks: The stock's extreme valuation premium (24.98x PS vs. industry 2.5x) makes it vulnerable to multiple compression if growth disappoints. With a beta of 2.067, the stock is highly sensitive to market downturns, as seen in the 37.6% decline over three months versus the S&P 500's gain of 6.3%. Competitive threats from other space analytics firms (e.g., HawkEye 360, BlackSky) and the potential for SpaceX's IPO to divert investor attention could pressure the stock. Recent news of a sector-wide selloff due to SpaceX IPO fatigue highlights the risk of sentiment-driven volatility.

Worst-Case Scenario: A perfect storm of slower revenue growth (e.g., below 20% YoY), failure to narrow losses, and a broad market downturn could drive the stock to its 52-week low of $5.87, representing a 76.4% decline from the current price of $24.90. This scenario could be triggered by a loss of key government contracts, a dilutive secondary offering, or a recession that cuts defense spending. The analyst low target of $25.00 is essentially at the current price, but the 52-week low provides a more realistic downside floor in a severe adverse scenario.