On June 12, Planet Labs declined 6.18% in regular trading, trading at approximately $31.87/share, with turnover of $74.19 million. The stock has now fallen over 35% cumulatively since June 5.

The decline is primarily driven by continued market concerns over the company's at-the-market (ATM) equity offering program of up to $1.5 billion, filed alongside its Q1 fiscal 2027 earnings release. While Q1 revenue of $94.2 million grew 42% year-over-year and exceeded consensus estimates of $90 million, the ATM plan has triggered persistent fears of share dilution and increased float supply. GAAP net loss also widened to $138.9 million due to warrant revaluation impacts.

Morgan Stanley recently reiterated an Equal Weight rating with a $35 price target, identifying the ATM offering as the primary driver of near-term weakness. The firm noted that while the company holds approximately $731 million in cash and short-term investments and expects free cash flow to turn positive in fiscal 2027, the dilution overhang remains a near-term headwind despite strong backlog of $906 million.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)