AbstractThe Planetary Boundary Layer height (PBLH) is essential for studying PBL and ocean‐atmosphere interactions. Marine PBL is usually defined to include a mixed layer (ML) and a capping inversion layer. The ML height (MLH) estimated from the measurements of aerosol backscatter by a lidar was usually compared with PBLH determined from radiosondes/dropsondes in the past, as the PBLH is usually similar to MLH in nature. However, PBLH can be much greater than MLH for decoupled PBL. Here we evaluate the retrieved MLH from an airborne lidar (HSRL‐2) by utilizing 506 co‐located dropsondes during the ACTIVATE field campaign over the Northwest Atlantic from 2020 to 2022. First, we define and determine the MLH and PBLH from the temperature and humidity profiles of each dropsonde, and find that the MLH values from HSRL‐2 and dropsondes agree well with each other, with a coefficient of determination of 0.66 and median difference of 18 m. In contrast, the HSRL‐2 MLH data do not correspond to dropsonde‐derived PBLH, with a median difference of −47 m. Therefore, we modify the current operational and automated HSRL‐2 wavelet‐based algorithm for PBLH retrieval, decreasing the median difference significantly to −8 m. Further data analysis indicates that these conclusions remain the same for cases with higher or lower cloud fractions, and for decoupled PBLs. These results demonstrate the potential of using HSRL‐2 aerosol backscatter data to estimate both marine MLH and PBLH and suggest that lidar‐derived MLH should be compared with radiosonde/dropsonde‐determined MLH (not PBLH) in general.