You're right, Steve, and here's the gist of it....
A 2speed kickback, or even a cable-actuated 2speed, is going to have 2 ratios. It's going to have the
direct-drive , which is basically what your front/rear sprocket combo would be geared like with a singlespeed, and then you'll have the
other gear, where the planetary kicks in. The other gear can be
overdrive or
underdrive, which is to say, that second gear will either be "more resitance" (ie, higher gear) or "less resistance" (you guessed it, lower gear).
The Bendix "autos" offered both versions. There were red and yellow band versions, which were direct/under, and then there was the blue band, which was direct/over. The blue band was designed for 20" wheels; due to their lower final drive, the 20s benefitted more from an over than they did from an under.
In either case, within normal gear ranges, you can get the desired ratios by judiciously changing the front or rear sprocets. (I always shoot for the rear sprocket first, as it's cheaper, but that's just me.) I prefer the overdrive hubs b/c low gearing (sub 2:1 f/r ratios) will fry a planetary, but the direct drive is more robust and wiill survive it. So, you can make the direct drive the climbing gear, and the overdrive can be reserved for the low-torque cruising.... easier on the hubs' guts. I suspect that the manufacturers agree, as they've all either started with the diurect/over set-up (Sachs/SRAM, Sturmey Archer, KT) or moved to that design as time went on (Bendix).
Then again, you rarely hear about ppl making guacamole out of their direct/under Bendix hubs due to high torque/low gear ratios. (Possibly b/c they've been out of production for half a century...) But it
is a common problem with multi-(3+)speed hubs. This is why Sturmey made their 8 speed a direct plus 7 over....
But that's just one gear nerd's opinion.