Jim Cramer Makes a Bold Call on Planet Labs (PL)
Planet Labs PBC (NYSE:PL) gained attention from Jim Cramer, who recommended buying the stock, citing its growth and lack of direct competition. The company reported 58% revenue growth to $116.1 million in Q2 FY2027, with adjusted EBITDA doubling to $13.9 million. It secured a €25 million contract with the German government. Despite competition and a GAAP net loss of $9.4 million, institutional interest is growing, with 53 hedge funds holding shares in Q2.
How this was made
The 30-second read
Why it matters
The fresh contract and earnings data provide a catalyst for short‑term price movement, especially given the low float and notable hedge‑fund interest.
Market read
New government contract and strong Q2 results could trigger buying pressure; however, valuation and short‑interest pose downside risks.
What to watch
Potential pricing pressure from competitors and the need to sustain profitability beyond adjusted EBITDA.
Background
Jim Cramer highlighted Planet Labs on Mad Money, noting its recent contract win and quarterly performance.
Ticker impact
Planet Labs announced a new German federal contract worth up to €25 million over five years and reported Q2 2027 results with 58% revenue growth.
likely upward pressure as the market prices in the new contract and earnings beat.
First‑time disclosure of a multi‑year government contract plus better‑than‑expected earnings typically drives short‑term buying.
Market effects
Strengthens the commercial satellite services sector and may lift peers like BlackSky and Airbus Defense.
Positive for European space‑tech suppliers due to the German government award.
Modest; adds to overall optimism in the space‑industry niche.
Counterpoint
High valuation multiples and persistent GAAP losses could limit upside; short interest remains near 10%.
Key entities
- companyPlanet Labs PBC
U.S. listed satellite‑imaging firm (NYSE:PL).
- institutional_investorD. E. Shaw
Largest hedge‑fund holder of PL, increased stake to 9.75 million shares.
