Planet raises outlook with ‘multiple’ sources of upside, says Citizens JMP

Planet Labs (PL) reported “strong” Q1 results that outperformed Street expectations and guidance across both the top and bottom lines, achieved the first free cash flow positive quarter in company history, and raised the midpoint of its revenue outlook with “multiple sources” of upside to revenue, Citizens JMP tells investors in a research note. The firm’s view on Planet as an opportunity for long-term capital appreciation remains supported by a demonstrably resilient fleet of more than 200 satellites that form the infrastructure for a scalable, one-to-many, software-like business model, as well as robust imagery archives that create a technical competitive moat and will serve as the proprietary data backbone for new AI use cases with earth imagery. Citizens has an Outperform rating and $6.50 price target on the shares.