Why Planet Labs Stock Is Still Trending After Its Post-Earnings Breakout

Planet Labs PBC (NYSE:PL) shares are trading flat but remain a trending name Tuesday morning after a powerful post-earnings breakout that has lifted the stock about 25% since late Thursday's report. Here’s what investors need to know. Planet Labs shares are trending higher. Why is PL stock trading higher? Planet Labs Beats Revenue Estimates, Reaches EBITDA Profitability Investors appeared to respond to a combination of top-line strength, improving profitability and a sharply more bullish forward outlook. The company reported fourth-quarter revenue of $86.82 million, ahead of analyst estimates, while full-year revenue reached a record $308 million. Planet also said it delivered its first full year of adjusted EBITDA profitability, reinforcing the view that the company is evolving from a pure satellite operator into a higher-value geospatial data and intelligence platform. Backlog Growth And Analyst Upgrades Fuel Bullish Sentiment Bull sentiment was also fueled by guidance and backlog growth. Planet forecast first-quarter revenue of $87 million to $91 million, above consensus, and sees fiscal 2027 revenue of $415 million to $440 million, implying a major acceleration in growth. The company said backlog expanded to about $900 million, up 79% year over year, helped by strong defense and intelligence demand and sovereign satellite services deals. Analysts turned more bullish after the report, with Needham and Wedbush both lifting price targets to $40. Needham said Planet's roughly 200-satellite fleet, daily scan of the Earth and massive image archive give it a multiyear lead over rivals, while Wedbush pointed to expanding AI opportunities through partnerships including Google and Anthropic. Planet Labs RSI Signals Overbought Conditions Planet Labs' RSI has recently pushed toward the 70 level, indicating the stock is approaching overbought territory following its strong post-earnings rally. Over the past year, RSI has repeatedly cycled between neutral and overbought zones, suggesting momentum-driven spikes rather than sustained oversold conditions. PL Shares Edge Higher Tuesday PL Price Action: Planet Labs shares were down 0.65% at $33.60 at the time of publication on Tuesday. The stock is approaching its 52-week high of $36.28, according to Benzinga Pro data. Image: Shutterstock