Planet Labs PBC: Achieving EBITDA Break-Even and Strategic Growth with JSAT Contract

Needham analyst Ryan Koontz has maintained their bullish stance on PL stock, giving a Buy rating on March 21.

Ryan Koontz has given his Buy rating due to a combination of factors including Planet Labs PBC’s achievement of EBITDA break-even, which marks a significant milestone for the company. The solid performance in the fourth quarter, particularly in the government segment, demonstrated growth despite challenges in the commercial sales sector.
Additionally, the strategic multi-year contract with JSAT, valued at $230 million, is expected to drive future revenue growth as it supports the development of new Pelican satellites. Although initial costs may impact gross margins in the short term, the long-term potential for global sales of Pelican capacity is promising. These factors contribute to maintaining a price target of $8, even as revenue and EBITDA estimates for fiscal year 2026 are adjusted.

Koontz covers the Technology sector, focusing on stocks such as Gilat, Kaltura, and Adtran. According to TipRanks, Koontz has an average return of -4.5% and a 38.97% success rate on recommended stocks.

In another report released on March 21, JMP Securities also maintained a Buy rating on the stock with a $6.50 price target.