Planet Labs launched a $1.5B ATM share offering—about 10% of its $15.5B market cap—triggering a 22% plunge, the steepest in 21 months, and a move below its 200-day average. It still posted Q1 revenue of $94.2M, beat estimates, and raised Q2 guidance to $102M–$107M.
Planet Labs established a new ATM equity program to raise up to $1.5B by selling Class A common stock over time, representing roughly 10% of its $15.5B market cap. The company engaged a syndicate including Goldman Sachs, Morgan Stanley, Barclays, Citigroup and Deutsche Bank to facilitate periodic share sales or forward purchase agreements.
The offering announcement triggered a 22% share collapse—the sharpest single-day decline in 21 months—and pushed shares below the 200-day moving average for the first time since March. Retail sentiment on social platforms remained highly bullish as trading volume surged over 400%, reflecting debate over short-term dilution versus long-term growth.
In Q1, Planet Labs generated $94.2M in revenue, up 42% year-over-year and ahead of the $90M consensus, with an adjusted loss per share of $0.03 versus an expected $0.04 loss. The company lifted its Q2 revenue outlook to $102M–$107M, prompting Craig-Hallum to raise its price target from $36 to $49 and affirm a Buy rating.
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