Planet Labs PBC (PL) Could Be 44% Undervalued After 20 Satellite Launch

Planet Labs PBC (PL) is back in focus after sending 20 satellites to orbit on 1 October, including the first Project Suncatcher demo with Google TPUs and the Tanager-2 hyperspectral spacecraft.

Investors have reacted quickly to the latest launch, with Planet Labs PBC’s share price up 8.43% over the last trading day, even though the 30 day share price return is down 12.46% and the 90 day share price return is down 44.23%. The 3 year total shareholder return is very large at about 7x and the 1 year total shareholder return is 14.30%, indicating long term momentum but recent pressure on the ticker.

Scan how Planet Labs PBC fits into the broader space and Earth intelligence story by comparing it with 90 AI infrastructure stocks, which is powering the next wave of data and compute in orbit and on the ground.

Planet Labs PBC is clearly building serious Earth intelligence capabilities, yet the share price only just bounced after a steep 90 day slide. Is this a strong platform that is now selling at the right price, or not?

Most Popular Narrative: 43.5% Undervalued

Planet Labs PBC last closed at $17.50, while the most followed narrative pegs fair value near $31.00, which implies a steep gap that the market has not closed yet.

The company can succeed and the investment can still fail. For the stock to become exceptional, the company probably has to become exceptional too, not merely good.

See why 4 investors see Planet Labs PBC as 44% undervalued.

Result: Fair Value of $31.00 (UNDERVALUED)

Still, this story can break if Planet Labs PBC struggles to turn its data archive into higher margin answers, or if AI platforms commoditise the raw imagery feed.

Find out about the key risks to this Planet Labs PBC narrative.

Another View: Multiples Put Planet Labs PBC On A Tighter Leash

The bullish narrative pegs Planet Labs PBC at $31.00, yet current trading around $17.50 tells a different story. On a P/S of 16.8x versus 0.9x for the US Professional Services industry and a fair ratio of 5x, this pricing loads in a lot of expectation and leaves less room for error. Does that premium reflect future answers, or just enthusiasm for the story?

See what the numbers say about this price — find out in our valuation breakdown.

Next Steps

Mixed sentiment around Planet Labs PBC is clear, with both optimism and caution in play, so consider the story while it is fresh and weigh the evidence yourself. To see both sides laid out in one place, start with 1 key reward and 3 important warning signs.

Looking for more investment ideas beyond Planet Labs PBC?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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