Planet Labs price target raised to $7 from $5 at Citi

Citi analyst Jason Gursky raised the firm’s price target on Planet Labs (PL) to $7 from $5 and keeps a Buy rating on the shares. The company’s Q1 results were better than consensus expectations and it delivered its first quarter of positive free cash flow, the analyst tells investors in a research note. The firm says demand signals, particularly from European customers, have increased significantly year-to-date, and could help drive further adoption of Planet Labs’ offerings. Citi now sees a path to sustained free cash flow as international customers appear willing to fund the company’s capex ahead of service provision.