Planet Labs PBC's stock surged 24.26% during intraday trading on Friday, driven by the company's better-than-expected fourth-quarter financial results and optimistic future outlook.

The Earth-imaging company reported quarterly revenue of $86.82 million, significantly exceeding analyst estimates of $78.53 million and representing a 41% year-over-year increase. Planet Labs also issued strong guidance, forecasting first-quarter revenue between $87 million and $91 million and fiscal 2027 revenue in the range of $415 million to $440 million, both well above consensus expectations.

Several analysts responded positively to the earnings report, with Needham and Wedbush raising their price targets to $40, while Clear Street increased its target to $34. The company highlighted a 79% increase in backlog to $900 million and noted growing demand from government agencies, including a recent contract with the Swedish Armed Forces. Additionally, partnerships with technology giants like Google and Nvidia for AI and space data center exploration contributed to the bullish sentiment.