Planet Labs Stock Adds 40% in 1 Month – Analyst Raises Price Target Further

Planet Labs PBC (NYSE:PL) has seen its stock price surge by 40.28% over the past month, fueled by significant contract wins and increasingly positive analyst sentiment. The upward trajectory reflects growing confidence in the company's strategic direction and financial performance.

A key catalyst for this growth is the recent multi-year agreement with the Swedish Armed Forces, valued in the low nine-figure range. This contract provides Sweden with satellites, high-resolution data, and intelligence solutions for peace and security operations.

This deal follows similar agreements with Japan and Germany, collectively valued at over half a billion dollars, demonstrating Planet Labs' success in securing substantial international contracts.

Positive Analyst Revisions

The Swedish contract has directly contributed to several positive analyst revisions. The market is taking note of the company's growing backlog and strategic positioning.

• Clear Street raised its price target on Planet Labs to $29 from $22, reiterating a Buy rating. Clear Street noted that the Sweden contract is just the beginning of a much larger opportunity.
• Wedbush Securities also increased its price target, moving from $20 to $28 while maintaining an Outperform rating, citing accelerating demand from government customers and expanding use cases tied to artificial intelligence.
• Morgan Stanley significantly raised its price target from $4.50 to $20, maintaining an Equalweight rating, which reflects confidence in Planet Labs' expanding backlog and new multi-year awards.
• Needham also increased its price target to $22 from $16, reaffirming a Buy rating.

The firm believes Planet Labs is positioned for sustained revenue growth exceeding 20% alongside considerable margin expansion, attributing this to the company's unique satellite imagery and integrated machine learning capabilities.

Financial Performance and Outlook

Planet Labs' financial performance has also played a crucial role in bolstering market confidence. In the third quarter of fiscal 2026, the company reported revenue of $81.3 million, a 33% year-over-year increase that surpassed analyst estimates by 12%. The company's improved financial outlook now anticipates a positive annual adjusted EBITDA, a significant improvement from its previous guidance of a loss.

The convergence of significant international contracts, positive financial results, and favorable analyst evaluations has fostered a bullish environment around Planet Labs. The company's strategic emphasis on integrating AI with satellite imagery positions it favorably for continued growth and margin expansion in the evolving geospatial intelligence market.

The recent analyst upgrades and contract wins suggest that the market is increasingly recognizing the value of Planet Labs' unique capabilities and strategic positioning, potentially setting the stage for continued positive momentum. With the stock having taken out highs in each of the recent sessions, there will be those looking to see where resistance may look to step in.