Planet Labs Rallies on Goldman Sachs Buy Rating

By Sam Boughedda — Planet Labs PBC (NYSE:) shares have gained 16% Wednesday after the stock was given a buy rating by Goldman Sachs (NYSE:) analyst Noah Poponak.

The analyst initiated coverage of the public Earth imaging company, also assigning a price target of $11.

“We initiate coverage of Planet Labs (PL) with a Buy rating and $11 price target. Planet is the market leader in commercial earth observation, where the opportunity to sell data analytics into many industries is massive,” Poponak said in a research note.

The analyst added that one of the benefits the company has is first-mover advantage in the strategy of scanning the globe daily with its own low-cost satellites. 

“Customer education will be key and take time, but the TAM is huge, and profit margins can be high if volume is there given a scalable model. Shares are down 50% over the last one month with no fundamental change creating an attractive entry point,” concluded Poponak.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.


Leave a Reply

This website uses cookies. By continuing to use this site, you accept our use of cookies.