Why Is Planet Labs Stock Surging Today?

Planet Labs PBC PL shares are trading higher Wednesday after the company announced it was awarded an Electro-Optical Commercial Layer contract by the U.S. National Reconnaissance Office (NRO).

The contract will allow the NRO to access Planet's high and medium resolution, daily satellite imagery for an initial period of up to five years, with options to extend the contract up to a total of 10 years.

"Planet has been proud to partner with the US government for many years, and the EOCL award is the next giant leap in our work together," said Robbie Schingler, co-founder and chief strategy officer of Planet.

Planet is driven by a mission to image the world every day, and make change visible, accessible and actionable. The company is a provider of global, daily satellite imagery and geospatial solutions.

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PL Price Action: Planet has traded between $3.70 and $11.65 over a 52-week period.

The stock was up 16.1% at $5.83 at time of publication.

Photo: Tuna Ölger from Pixabay.