Planet Labs (PL, Financial) experienced a significant boost in its stock value, rising by 38.6%, which translates to an increase of $1.54, bringing the share price to $5.53. This impressive surge reflects positive investor sentiment and heightened market interest in the company's performance and potential.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 11 analysts, the average target price for Planet Labs PBC (PL, Financial) is $5.71 with a high estimate of $8.00 and a low estimate of $3.50. The average target implies an downside of 1.31% from the current price of $5.79. More detailed estimate data can be found on the Planet Labs PBC (PL) Forecast page.
Based on the consensus recommendation from 11 brokerage firms, Planet Labs PBC's (PL, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Planet Labs PBC (PL, Financial) in one year is $3.33, suggesting a downside of 42.44% from the current price of $5.785. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Planet Labs PBC (PL) Summary page.
PL Key Business Developments
Release Date: June 04, 2025
- Revenue: $66.3 million, representing approximately 10% year-over-year growth.
- Non-GAAP Gross Margin: 59%, up from 55% a year ago.
- Adjusted EBITDA Profit: $1.2 million, marking the second sequential quarter of adjusted EBITDA profitability.
- Cash Flow from Operating Activities: $17.3 million.
- Free Cash Flow: $8 million, the first-ever quarter of positive free cash flow.
- Backlog: Over $0.5 billion at the end of the quarter.
- Defense and Intelligence Sector Revenue Growth: Over 20% year-over-year during Q1.
- End-of-Period Customer Count: 919 customers, lower on a sequential basis.
- Net Dollar Retention Rate: 103%.
- Capital Expenditures: Approximately $9.3 million in Q1.
- Cash, Cash Equivalents, and Short-term Investments: Approximately $226.1 million at the end of the quarter.
- Remaining Performance Obligations (RPOs): Approximately $451.9 million, up 262% year-over-year.
- Guidance for Q2 Revenue: Expected to be between $65 million and $67 million.
- Guidance for Full Fiscal Year 2026 Revenue: Expected to be between $265 million and $280 million.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Planet Labs PBC (PL, Financial) reported $66.3 million in revenue for Q1 fiscal 2026, representing approximately 10% year-over-year growth.
- The company achieved a non-GAAP gross margin of 59%, up from 55% a year ago.
- Planet Labs PBC (PL) reported its first-ever quarter of positive free cash flow at $8 million.
- The backlog grew to over $0.5 billion, indicating strong future growth potential.
- The defense and intelligence sector revenue grew over 20% year-over-year, driven by strong performance in core data and solutions business.
Negative Points
- Revenue from the civil government sector was down year-over-year due to the expiration of the NICFI contract.
- The commercial sector revenue was flat year-over-year, indicating challenges in achieving growth in this segment.
- North America and Latin American revenues were down year-over-year, impacted by agricultural contract adjustments.
- The end-of-period customer count decreased to 919, reflecting a focus on larger customers and a shift away from smaller ones.
- The company expects an adjusted EBITDA loss for Q2 fiscal 2026, indicating ongoing financial challenges.
