Portsmouth, New Hampshire-based Iron Mountain Incorporated (IRM) is the global leader in storage and information management solutions. Its offerings include data centers, secure records storage, information management, asset lifecycle management, secure destruction, art storage, and more. With a market cap of $34.3 billion, Iron Mountain serves over 240,000 customers globally.
Companies worth $10 billion or more are generally described as "large-cap stocks," Iron Mountain fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the specialty REIT industry.
Iron Mountain touched its all-time high of $118.46 in the previous trading session before slightly pulling back. IRM has surged 34.3% over the past three months, outpacing the iShares Core U.S. REIT ETF’s (USRT) 18.7% gains during the same time frame.
Over the longer term, IRM stock looks even more appealing. IRM gained 88.1% over the past 52 weeks and 68.9% in 2024, substantially outperforming USRT’s 22.6% gains over the past year and 15.4% returns on a YTD basis.
To confirm the bullish trend, IRM has consistently traded above its 200-day moving average and mostly above its 50-day moving average, with slight fluctuations over the past year.
Shares of Iron Mountain soared 6.8% after the release of its impressive Q2 earnings on Aug. 1. The company reported a robust 13% annual revenue growth of $1.5 billion. This growth was complemented by a 10.2% increase in adjusted funds from operations (AFFO) per share, which climbed to $1.08, surpassing Wall Street’s expectations by 6.9%.
Adding to the positive sentiment, Iron Mountain reaffirmed its strong full-year revenue guidance of $6 billion to 6.2 billion, a notable increase from the previous year’s revenue of $5.5 billion. It also projected AFFO per share to be in the range of $4.39 to 4.51, up from the previous year’s AFFO per share of $4.17, bolstering investor confidence.
Iron Mountain’s competitor, Digital Realty Trust, Inc. (DLR), has underperformed IRM over the past year. DLR gained 25% over the past year and 19.5% in 2024.
Among the seven analysts covering the IRM stock, the consensus rating is a “Moderate Buy.” IRM is trading above its mean price target of $102.12. Yet, the Street-high target of $121 represents a potential upside of 2.4% from current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
