Planet Labs (PL -2.81%) stock jumped 6% through 9:55 a.m. ET this morning -- but don't get too excited. There's no actual space news behind today's "giant leap."
Or no space news relating directly to Planet Labs stock at least.
Image source: Getty Images.
What's up in space today?
So why did Planet Labs stock pop in the absence of any news about Planet Labs? Probably because yesterday the U.S. Air Force (USAF) announced it will request $338.8 billion in funding for fiscal 2027, a 37.6% increase over fiscal 2026 levels. Of the funds, $267.7 billion would go to USAF proper, and $71.1 billion would go directly to the U.S. Space Force (USSF).
And here's the real kicker: While the overall budget request is impressive, the jump in space spending is downright enormous: a 124% increase year over year.
NYSE: PL
Key Data Points
What does it mean for Planet Labs stock?
Where's all the money going? Some will be spent on hiring 2,800 new USSF "Guardians," both civilian and military (about a 20% jump in payroll). What's got investors really excited, though, is the 60% increase in spending on satellite communications (Planet Labs is a satellite company) to $6.7 billion, and the 70% increase in spending on missile warning and tracking systems (which Planet will also help out on) -- to $6.8 billion.
Biggest of all, the budget seeks $21.6 billion (a 158% leap) for what USSF calls "space control." By comparison, the $2.9 billion increase in rocket launch funding (for 22 additional launches) would be relatively tame.
Big picture? What we're seeing here is both a budget increase and a shift in space military spending from rocket launch companies to companies that provide space defense services. That's good news for Planet Labs.
