Why Planet Labs Stock Popped Today
Key Points
Demand for Planet Labs' offerings is rising.
With a fast-growing backlog of over $900 million, much more gains lie ahead.
- 10 stocks we like better than Planet Labs PBC ›
Shares of Planet Labs (NYSE: PL) soared on Friday after the satellite imagery supplier reported strong revenue growth and significant progress toward achieving sustained profitability.
Image source: Getty Images.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Space-based gains
Planet's revenue surged 41% year over year to $86.8 million in its fiscal 2026 fourth quarter, which ended on Jan. 31.
The provider of geospatial solutions launched 40 satellites over the past year. It also struck deals with the likes of the U.S. Department of Defense, NATO, and the Swedish Armed Forces to deliver space-based data, artificial intelligence (AI)-powered analytics, and threat monitoring services.
All told, Planet broke even on an adjusted basis. That was much better than Wall Street expected. Analysts predicted a loss of $0.05 per share.
Better still, the San Francisco-based space stock produced $53 million in free cash flow in fiscal 2026. Planet ended its fiscal year with $640 million in cash and investments.
A long runway for growth
Planet sees its revenue growing to between $415 million and $440 million in fiscal 2027, up from $307.7 million in 2026. Management also projects earnings before interest, taxes, depreciation, and amortization (EBITDA) of up to $10 million.
Planet's backlog, which grew by 79% to more than $900 million, portends even larger gains.
"With this excellent backlog as well as our healthy pipeline, we project strong growth for this year and beyond," CEO Will Marshall said.
With conflict in the Middle East and Ukraine once again demonstrating the vital need for situational awareness, and a growing number of industries recognizing the value of space-based data solutions, demand for Planet's offerings is likely to soar in the coming years.
Should you buy stock in Planet Labs PBC right now?
Before you buy stock in Planet Labs PBC, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Planet Labs PBC wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $494,747!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,094,668!*
Now, it’s worth noting Stock Advisor’s total average return is 911% — a market-crushing outperformance compared to 186% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of March 20, 2026.
Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Planet Labs PBC. The Motley Fool has a disclosure policy.
Recommended Articles
