Planet Labs PBC

Where It Passes

Where It Falls Short

• Profitability0% pass✓ 4✗ 31▾

  No clean pass — all 16 investors flag at least one profitability criterion

  Positive EPS (10 years)0/8 years positive

  ✗GrahamPositive EPS every year for 10 years

  EPS Growth (3-yr avg, 10-yr window)N/A (negative base EPS)

  ✗Graham>= 33% growth

  Net Income Positive (10+ years)0/8 years positive

  ✗BuffettPositive every year for 10+ years

  ROE (up to 5-year arithmetic mean)-47.1%

  ✗Buffett> 15% arithmetic mean (app rule)

  Operating Margin (10-yr trend)-30.9% (latest)

  ✓BuffettStable or rising over 10 years

  Free Cash Flow Proxy$-250.7M

  ✗BuffettPositive and growing

  Earnings Variance (10-yr CoV)N/A (negative mean EPS)

  ✗BuffettCoV < 0.3

  Retained Earnings Effectiveness

  ✗Buffett$1 retained -> > $1 market value created

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  ROE-63.8%

  ✗Lynch> 15%

  EBIT / Enterprise Value-1.8%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=-1.8%, ROC=-41.9%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Net Income / Total Assets-21.55%

  ✗PiotroskiROA > 0

  ROA Change YoY-19.44% -> -21.55% (delta: -2.11%)

  ✗PiotroskiCurrent ROA > Prior ROA

  (CFO / Total Assets) vs ROACFO/Assets=11.73%, ROA=-21.55%

  ✓PiotroskiCFO/Assets > ROA

  Gross Margin Change YoY57.2% -> 56.1%

  ✗PiotroskiImproved YoY

  Pre-Tax Income / Revenue-93.8%

  ✗Dreman>= 8%

  Net Income / Shareholders' Equity-63.8%

  ✗Dreman> 12%

  Margin of SafetyP/B=22.6x

  ✗PabraiP/B < 1.5 or P/E < 15

  Return on Equity-62.0% (3-yr avg)

  ✗AkreROE > 20% (3-year avg)

  Discount to Intrinsic ValueN/A (negative normalized EPS)

  ✗Marks>= 20% below intrinsic value

  Positive Net Income Frequency0/7 years positive

  ✗MarksPositive net income in >= 7 of last 10 years

  Operating Income / Revenue-27.2%

  ✗Ackman>= 15%

  Net Income / Shareholders Equity-63.8%

  ✗Ackman>= 15%

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Operating Margin Trend-76.9% (2023) -> -30.9% (2025)

  ✓TempletonNon-negative operating-margin trend over 3 years

  Revenue growth vs. gross and operating margin trendgross margin 51.2% -> 56.1%, operating margin -76.9% -> -30.9%

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  Net income / market capitalization-7.16%; #4030/6340 (top 63.6%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Gross profit / total assets+14.65%; #2450/3702 (top 66.2%)

  ✗AsnessTop 30% of eligible cross-section

  Net income / positive book equity-63.77%; #4350/5226 (top 83.2%)

  ✗AsnessTop 30% of eligible cross-section

  Negative 5-year standard deviation of ROA-0.0178; #1327/5884 (top 22.6%)

  ✓AsnessTop 30% of eligible cross-section

  3-5 Year Diluted EPS CAGR

  ✗Neff7%-20% annualized

  Positive Diluted-EPS Years0/7 years positive

  ✗Schloss>= 70% positive over 5-10 observed years (app rule)
• Valuation0% pass✗ 28▾

  All 13 investors flag PL's valuation

  Price / 3-yr avg EPS

  ✗Graham<= 15x

  Price-to-Book Ratio22.6x

  ✗Graham<= 1.5x

  P/E x P/B

  ✗Graham<= 22.5

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  EBIT / Enterprise Value-1.8%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=-1.8%, ROC=-41.9%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Price / EPS

  ✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)

  Price / (CFO / Shares)31.6x

  ✗Dreman< 8x

  Price / Book Value per Share22.6x

  ✗Dreman< 1.2x✗Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)

  Valuation ReasonablenessOE Yield=-6.6%

  ✗MungerP/E < 25 or Owner Earnings Yield > 5%

  P/E or FCF YieldFCF Yield=1.1%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  P/B or P/E vs. Historical AverageP/B=22.6x

  ✗MarksP/E < 15 or P/B < 2.0

  Discount to Intrinsic ValueN/A (negative normalized EPS)

  ✗Marks>= 20% below intrinsic value

  Price / FCF per Share73.7x

  ✗Ackman<= 25

  Price vs. Trailing Low420% of trailing low ($3.29)

  ✗Templeton<= 120% of trailing low (certified split-adjusted live window)

  Net income / market capitalization-7.16%; #4030/6340 (top 63.6%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Positive book equity / market capitalization+0.1123; #4682/6449 (top 72.6%)

  ✗AsnessTop 30% of eligible cross-section

  Price / Diluted EPS

  ✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)

  (EPS CAGR % + Dividend Yield %) / P/E

  ✗Neff> 0.7 (Neff's published traditional edge)

  Price / Tangible Book Value per Share231.70x

  ✗SchlossP/TBV <= 1.00x (app cutoff)

  Book Value per Share Change-74.8%

  ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)

  Revenue / market capitalization+0.0753; #4446/5247 (top 84.7%)

  ✗OshaughnessyTop 10% of eligible cross-section

  (Operating cash flow - capex) / market capitalization+0.49%; #2461/4519 (top 54.5%)

  ✗OshaughnessyTop 10% of eligible cross-section

  Trailing six-month price return through the evaluation date-73.00%; #5716/6202 (top 92.2%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Valuation models0% pass✗ 2▾

  PL overvalued: all 2 models price fair value below $13.81 (median $4.14)

  Munger fair value$3.41

  ✗Munger-305.0% margin vs $13.81

  Ackman fair value$4.88

  ✗Ackman-183.0% margin vs $13.81
• Verdicts6% pass✓ 1✗ 15▾

  Split decision: 14 FAIL · 1 PASS · 1 NEUTRAL

  Overall verdict

  ✗GrahamFAIL (2/9)✗BuffettFAIL (1/9)✗LynchFAIL (0/7)✗GreenblattRank #2121✗PiotroskiFAIL (F-Score 3)✗DremanFAIL (3/11)✗MungerFAIL (0/4)✗PabraiFAIL (0/3)✗AkreFAIL (0/6)✗MarksFAIL (0/5)✓AckmanPASS (5/9)✗TempletonFAIL (3/8)✗SleepFAIL (1/6)✗AsnessFAIL (Rank #1835/2370 (Top 77.4%))✗NeffFAIL (2/6)✗SchlossFAIL (2/7)•OshaughnessyNEUTRAL (Not ranked)
• Growth13% pass✓ 3✗ 10▾

  7 of 8 flag PL's growth — Graham, Lynch, Dreman +4 more

  EPS Growth (3-yr avg, 10-yr window)N/A (negative base EPS)

  ✗Graham>= 33% growth

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  Inventory Growth vs Revenue GrowthInv: new vs Rev: 25.9%

  ✗LynchInventory growth < Revenue growth

  EPS Growth Direction$-2.89 (2019) -> $-0.80 (2025)

  ✗DremanPositive over recent years

  EPS CAGR

  ✗Dreman> 5% annualized

  Positive Net Income Frequency0/7 years positive

  ✗MarksPositive net income in >= 7 of last 10 years

  3yr Median Revenue Growth15.4%

  ✓Ackman>= 5%

  Positive EPS Growth Frequency4/5 years with positive EPS growth

  ✓AckmanPositive EPS growth in >= 3 of last 5 years

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Revenue growth vs. gross and operating margin trendgross margin 51.2% -> 56.1%, operating margin -76.9% -> -30.9%

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  5-year Revenue CAGR22.1%

  ✓SleepCAGR > 7%

  3-5 Year Diluted EPS CAGR

  ✗Neff7%-20% annualized
• Cash Flow20% pass✓ 3✗ 9▾

  8 of 10 flag PL's cash flow — Buffett, Lynch, Dreman +5 more

  Free Cash Flow Proxy$-250.7M

  ✗BuffettPositive and growing

  FCF Positive and Growing$24.7M

  ✗LynchPositive and growing

  Operating Cash Flow$134.4M

  ✓PiotroskiCFO > 0

  (CFO / Total Assets) vs ROACFO/Assets=11.73%, ROA=-21.55%

  ✓PiotroskiCFO/Assets > ROA

  Price / (CFO / Shares)31.6x

  ✗Dreman< 8x

  P/E or FCF YieldFCF Yield=1.1%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  FCF Positive1/7 years FCF positive

  ✗MarksPositive FCF in majority of recent years

  (OCF - CapEx) / Market Cap0.6%

  ✗Ackman>= 4%

  Price / FCF per Share73.7x

  ✗Ackman<= 25

  Positive Operating Cash Flow frequency1/7 years positive

  ✗SleepPositive OCF in >= 70% of available years

  Operating Cash Flow - Capital Expenditures$24.7M

  ✓Neff> $0 (app proxy for a strong fundamental case)

  (Operating cash flow - capex) / market capitalization+0.49%; #2461/4519 (top 54.5%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Efficiency25% pass✓ 2✗ 9▾

  6 of 8 flag PL's efficiency — Buffett, Greenblatt, Piotroski +3 more

  Current Ratio2.84

  ✓Graham>= 2.0

  ROIC (3-5 yr avg)-66.5%

  ✗Buffett> 10%

  ROIC - WACC-76.5%

  ✗BuffettPositive (WACC = 10%)

  EBIT / (NWC + Net Fixed Assets)-41.9%

  ✗Greenblatt> 25%

  Current Ratio Change YoY2.13 -> 1.65

  ✗PiotroskiIncreased YoY

  Revenue / Total Assets Change YoY0.39x -> 0.27x

  ✗PiotroskiImproved YoY

  Current Assets / Current Liabilities2.84

  ✓Dreman> 1.5

  Return on Invested Capital-8.0%

  ✗Munger> 15%

  ROIC (high and growing)FY2023: ROIC=unavailable; FY2024: ROIC=-20.8%; FY2025: ROIC=-11.8%

  ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each

  Reinvestment Rate x ROICN/A (non-positive net income)

  ✗AkreReinvestment Rate * ROIC > 10%

  ROIC (5-year)0/3 years above 12% (latest -11.8%)

  ✗SleepROIC > 12% in a majority of years
• Debt & Leverage42% pass✓ 7✗ 8▾

  7 of 12 flag PL's debt & leverage — Graham, Buffett, Lynch +4 more

  LT Debt vs Net Current Assets

  ✗GrahamLT Debt <= Net Current Assets

  Debt/Equity & Interest CoverageD/E: 0.79, IC: -18.7x

  ✗BuffettD/E < 0.5 AND Interest Coverage > 5x

  Total Debt / Equity0.79

  ✗Lynch< 0.33

  Cash - Long-term Debt

  ✗LynchPositive preferred

  LT Debt / Total Assets Change0.00% -> 0.00%

  ✓PiotroskiDecreased YoY

  Current Assets / Current Liabilities2.84

  ✓Dreman> 1.5✓SchlossCurrent ratio >= 1.50x (app cutoff)

  Total Debt / Shareholders' Equity0.79

  ✓Dreman< 0.8✓Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✓SchlossD/E < 1.00x

  Debt Levels0.79

  ✗MungerDebt/Equity < 0.5✗AkreDebt/Equity < 0.3

  Interest Coverage & Debt/EBITDAIC=-18.7x, D/EBITDA=N/A

  ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x

  Total Debt / Shareholders Equity0.79

  ✓Ackman<= 1.0

  Negative debt-to-equity (higher means less debt)-0.7943; #2995/4210 (top 71.1%)

  ✗AsnessTop 30% of eligible cross-section