Planet Labs Crushes Earnings, But Risk Is Rising

StockBros Research3.38K FollowersFollow5ShareSavePlay(13min)CommentsSummaryPlanet Labs delivered a standout Q4-2026, with 41% YoY revenue growth and a substantial beat on both revenue and EPS expectations.PL raised FY2027 revenue guidance to $415–440M, implying 38.9% YoY growth and signaling accelerating momentum, with backlog up 79% to $900.4M.Despite positive free cash flow and strong technical momentum, PL trades at a steep 23.9x forward sales, tempering long-term conviction.I rate PL stock a Hold due to valuation concerns and upcoming potential headwinds from the anticipated SpaceX IPO, despite near-term momentum. BlackJack3D/iStock via Getty Images Planet Labs (PL), an earth imaging company, just reported its Fiscal Q4-2026 earnings results. The stock is soaring in after-hours trading, up 14.4% as I write this, and for good reason. PL's results came in well ahead of expectations. Q4 revenue (forThis article was written byStockBros Research3.38K FollowersFollowI prefer to look for GARP (growth at a reasonable price) stocks but also look for opportunities everywhere else. I don't have a specified time horizon. I invest in a stock for as long as my thesis holds true, and I get out when the facts change. In addition, I've developed market-beating algorithms with Python that have helped me find attractive investment opportunities within my own portfolio, and I have been investing since 2016.On top of that, I've worked at TipRanks as an analysis/news writer and even as an editor for a few years, which not only kept me on top of the market but also helped me understand what people are interested in reading. Further, as an editor, I learned to pay attention to detail and found that there's plenty of misinformation and "fluff" out there that needs to be corrected. Thus, my goal is to provide accurate and useful information to the best of my abilities.I was previously associated with Investor's Compass.Analyst’s Disclosure: I/we have a beneficial long position in the shares of PL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.