Planet Labs PBC (NYSE:PL) Stock Price Down 26.3% – Should You Sell?

Planet Labs PBC (NYSE:PL)’s stock price fell 26.3% on Friday . The stock traded as low as $31.66 and last traded at $32.0770. 40,362,878 shares changed hands during mid-day trading, an increase of 205% from the average session volume of 13,246,796 shares. The stock had previously closed at $43.53.

Key Stories Impacting Planet Labs PBC

Here are the key news stories impacting Planet Labs PBC this week:

• Positive Sentiment: Planet Labs posted record quarterly revenue of $94.2 million, above estimates, and said revenue rose 42% year over year, showing continued demand for its satellite imagery and data services. Planet Reports Financial Results for First Quarter of Fiscal Year 2027
• Positive Sentiment: The company also raised its full-year outlook, guiding FY2027 revenue to $425 million-$441 million, which was roughly in line to slightly above Wall Street expectations and reinforced confidence in growth momentum. Planet forecasts FY2027 revenue of $425M-$441M as it targets Rule of 40
• Positive Sentiment: Planet expanded its backlog and said defense and intelligence revenue grew more than 65% year over year, highlighting a healthy pipeline and stronger government demand. Planet Labs beats Q1 estimates as defense revenue surges, shares fall on outlook
• Positive Sentiment: Wedbush and Needham both reiterated constructive views, with price targets raised to $50 and $53 respectively, suggesting analysts still see meaningful upside from current levels. Why Is Planet Labs Stock Sinking Friday?
• Neutral Sentiment: Planet also extended its NGA partnership with an $22 million maritime surveillance contract, adding another government revenue stream and supporting longer-term visibility. Planet Labs Extends NGA Partnership With $22 Million Maritime Surveillance Contract
• Negative Sentiment: Shares are under pressure because investors are worried about dilution after Planet filed for a large at-the-market stock program, which could increase the share count over time. Planet Labs Launches $1.5 Billion ATM Stock Program
• Negative Sentiment: Some traders were also disappointed that full-year guidance and capital-allocation details did not appear aggressive enough, leading to a selloff despite the earnings beat. Wedbush makes a strong case for buying the dip in Planet Labs stock

Analyst Ratings Changes

Several equities research analysts have weighed in on PL shares. Deutsche Bank Aktiengesellschaft set a $38.00 price target on shares of Planet Labs PBC and gave the company a “buy” rating in a research note on Friday, March 27th. The Goldman Sachs Group upped their price target on Planet Labs PBC from $18.00 to $20.00 and gave the stock a “neutral” rating in a research note on Monday, April 20th. Cantor Fitzgerald raised their price objective on Planet Labs PBC from $20.00 to $40.00 and gave the company an “overweight” rating in a research note on Friday, March 20th. Weiss Ratings lowered Planet Labs PBC from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Monday, June 1st. Finally, Morgan Stanley increased their target price on Planet Labs PBC from $26.00 to $35.00 and gave the stock an “equal weight” rating in a report on Wednesday, March 25th. Six equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $35.11.

Planet Labs PBC Price Performance

The company has a debt-to-equity ratio of 2.37, a current ratio of 1.65 and a quick ratio of 1.64. The business’s fifty day moving average price is $38.79 and its 200-day moving average price is $27.63. The stock has a market capitalization of $11.10 billion, a price-to-earnings ratio of -28.14 and a beta of 1.99.

Planet Labs PBC (NYSE:PL) last announced its quarterly earnings results on Thursday, June 4th. The company reported ($0.03) earnings per share for the quarter, beating the consensus estimate of ($0.04) by $0.01. The business had revenue of $94.15 million for the quarter, compared to analysts’ expectations of $90.39 million. Planet Labs PBC had a negative net margin of 111.17% and a negative return on equity of 114.96%. The company’s revenue was up 42.1% on a year-over-year basis. On average, research analysts forecast that Planet Labs PBC will post -0.45 EPS for the current year.

Insider Activity at Planet Labs PBC

In other news, insider Robert H. Schingler sold 73,683 shares of the firm’s stock in a transaction that occurred on Monday, April 6th. The stock was sold at an average price of $35.07, for a total value of $2,584,062.81. Following the transaction, the insider owned 256,488 shares in the company, valued at $8,995,034.16. This trade represents a 22.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Ashley F. Johnson sold 200,000 shares of Planet Labs PBC stock in a transaction that occurred on Thursday, April 2nd. The shares were sold at an average price of $35.10, for a total value of $7,020,000.00. Following the transaction, the chief financial officer directly owned 1,895,162 shares in the company, valued at approximately $66,520,186.20. The trade was a 9.55% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 16.42% of the company’s stock.

Hedge Funds Weigh In On Planet Labs PBC

Hedge funds have recently bought and sold shares of the company. AQR Capital Management LLC grew its stake in shares of Planet Labs PBC by 671.1% in the 1st quarter. AQR Capital Management LLC now owns 92,693 shares of the company’s stock worth $313,000 after acquiring an additional 80,672 shares in the last quarter. Integrated Wealth Concepts LLC bought a new position in shares of Planet Labs PBC during the first quarter valued at about $189,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Planet Labs PBC by 6.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 130,798 shares of the company’s stock worth $442,000 after purchasing an additional 8,143 shares during the last quarter. Goldman Sachs Group Inc. boosted its holdings in Planet Labs PBC by 54.3% during the first quarter. Goldman Sachs Group Inc. now owns 1,856,245 shares of the company’s stock worth $6,274,000 after purchasing an additional 653,173 shares during the last quarter. Finally, Thompson Davis & CO. Inc. bought a new stake in Planet Labs PBC in the 2nd quarter worth about $121,000. 41.71% of the stock is owned by hedge funds and other institutional investors.

Planet Labs PBC Company Profile

Planet Labs PBC is a public benefit corporation that operates one of the largest fleets of Earth-imaging satellites, providing high-frequency, high-resolution imagery and data analytics to a broad range of industries. The company’s multi-spectral satellite constellation captures daily snapshots of the planet, enabling clients to monitor changes in agriculture, forestry, urban development, energy infrastructure and environmental conditions. Planet’s imagery platform is designed to support timely decision-making by transforming raw satellite data into actionable insights for business and government users.

Founded in 2010 by former NASA scientists Will Marshall, Robbie Schingler and Chris Boshuizen, Planet Labs grew from a small startup into a key provider in the satellite imaging sector.