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IRM

Iron Mountain NYSE:IRM Stock Report

Last Price

US$48.63

Market Cap

US$14.8b

7D

-6.3%

1Y

13.1%

Updated

19 May, 2022

Data

Company Financials +
IRM fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance4/6
Financial Health0/6
Dividends4/6

IRM Stock Overview

Iron Mountain Incorporated (NYSE: IRM), founded in 1951, is the global leader for storage and information management services.

Iron Mountain Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Iron Mountain
Historical stock prices
Current Share PriceUS$48.63
52 Week HighUS$58.61
52 Week LowUS$41.67
Beta0.85
1 Month Change-13.87%
3 Month Change13.07%
1 Year Change13.09%
3 Year Change53.26%
5 Year Change38.63%
Change since IPO666.20%

Recent News & Updates

Apr 29

Iron Mountain: To The Top

I can’t help but have an affinity for Iron Mountain. Since my initial investment in July of 2018, the security has a total return of 111%. Furthermore, as a former US Army 10th Mountain Division “Winter Warrior” Mountaineer, I feel like part of the team! “To The Top” is the 10th Mountain’s motto, and after reviewing Iron Mountain’s earnings release today, I believe that is exactly where the REIT is headed. In the following piece, I will expound on the key positives from the report and provide my thoughts on what may lie ahead for the name.

Apr 23

Iron Mountain: Sustainable Capital Allocation Amid Data Center Consolidation

In this high inflation environment where the cost of borrowing is expected to rise through the central bank's actions, it is important to assess the outlook for indebted REITs like Iron Mountain. For this purpose, I found that its diversification into data centers has not necessarily translated into higher debt issuance. It is also growing more rapidly and generating more returns than a larger incumbent, with the latest acquisition pointing towards more synergistic growth with other larger revenue segments. Thus, I value the company by taking into consideration the sales metric, which shows that a 13% upside is possible. The risk as seen on Friday when the stock suffered from a 1% downside is volatility following uncertainty about the way the Fed seems to be fighting inflation.

Shareholder Returns

IRMUS REITsUS Market
7D-6.3%-0.3%0.1%
1Y13.1%-2.8%-12.7%

Return vs Industry: IRM exceeded the US REITs industry which returned -1.1% over the past year.

Return vs Market: IRM exceeded the US Market which returned -11.5% over the past year.

Price Volatility

Is IRM's price volatile compared to industry and market?
IRM volatility
IRM Average Weekly Movement5.3%
REITs Industry Average Movement4.5%
Market Average Movement8.0%
10% most volatile stocks in US Market17.0%
10% least volatile stocks in US Market3.0%

Stable Share Price: IRM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: IRM's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
195125,000Bill Meaneyhttps://www.ironmountain.com

Iron Mountain Incorporated (NYSE: IRM), founded in 1951, is the global leader for storage and information management services. Trusted by more than 225,000 organizations around the world, and with a real estate network of more than 90 million square feet across approximately 1,450 facilities in approximately 50 countries, Iron Mountain stores and protects billions of valued assets, including critical business information, highly sensitive data, and cultural and historical artifacts. Providing solutions that include secure records storage, information management, digital transformation, secure destruction, as well as data centers, cloud services and art storage and logistics, Iron Mountain helps customers lower cost and risk, comply with regulations, recover from disaster, and enable a more digital way of working.

Iron Mountain Fundamentals Summary

How do Iron Mountain's earnings and revenue compare to its market cap?
IRM fundamental statistics
Market CapUS$14.82b
Earnings (TTM)US$446.92m
Revenue (TTM)US$4.66b

31.6x

P/E Ratio

3.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IRM income statement (TTM)
RevenueUS$4.66b
Cost of RevenueUS$1.98b
Gross ProfitUS$2.68b
Other ExpensesUS$2.23b
EarningsUS$446.92m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.54
Gross Margin57.45%
Net Profit Margin9.59%
Debt/Equity Ratio1,188.8%

How did IRM perform over the long term?

See historical performance and comparison

Dividends

5.1%

Current Dividend Yield

110%

Payout Ratio

Does IRM pay a reliable dividends?

See IRM dividend history and benchmarks
When do you need to buy IRM by to receive an upcoming dividend?
Iron Mountain dividend dates
Ex Dividend DateJun 14 2022
Dividend Pay DateJul 06 2022
Days until Ex dividend24 days
Days until Dividend pay date46 days

Does IRM pay a reliable dividends?

See IRM dividend history and benchmarks

Valuation

Is Iron Mountain undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: IRM ($48.63) is trading below our estimate of fair value ($102.2)

Significantly Below Fair Value: IRM is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IRM is good value based on its PE Ratio (31.6x) compared to the US REITs industry average (33.5x).

PE vs Market: IRM is poor value based on its PE Ratio (31.6x) compared to the US market (15.5x).


Price to Earnings Growth Ratio

PEG Ratio: IRM is poor value based on its PEG Ratio (5.3x)


Price to Book Ratio

PB vs Industry: IRM is overvalued based on its PB Ratio (18.6x) compared to the US REITs industry average (1.7x).


Future Growth

How is Iron Mountain forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


6.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IRM's forecast earnings growth (6% per year) is above the savings rate (1.9%).

Earnings vs Market: IRM's earnings (6% per year) are forecast to grow slower than the US market (12.4% per year).

High Growth Earnings: IRM's earnings are forecast to grow, but not significantly.

Revenue vs Market: IRM's revenue (5.2% per year) is forecast to grow slower than the US market (7.8% per year).

High Growth Revenue: IRM's revenue (5.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if IRM's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Iron Mountain performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


21.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: IRM has high quality earnings.

Growing Profit Margin: IRM's current net profit margins (9.6%) are higher than last year (7.8%).


Past Earnings Growth Analysis

Earnings Trend: IRM's earnings have grown significantly by 21.7% per year over the past 5 years.

Accelerating Growth: IRM's earnings growth over the past year (37.8%) exceeds its 5-year average (21.7% per year).

Earnings vs Industry: IRM earnings growth over the past year (37.8%) underperformed the REITs industry 69.5%.


Return on Equity

High ROE: Whilst IRM's Return on Equity (53.81%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Iron Mountain's financial position?

Financial Health Score

0/6

Financial Health Score 0/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: IRM's short term assets ($1.5B) do not cover its short term liabilities ($1.7B).

Long Term Liabilities: IRM's short term assets ($1.5B) do not cover its long term liabilities ($13.1B).


Debt to Equity History and Analysis

Debt Level: IRM's net debt to equity ratio (1165.3%) is considered high.

Reducing Debt: IRM's debt to equity ratio has increased from 322% to 1188.8% over the past 5 years.

Debt Coverage: IRM's debt is not well covered by operating cash flow (7.5%).

Interest Coverage: IRM's interest payments on its debt are not well covered by EBIT (2.2x coverage).


Balance Sheet


Dividend

What is Iron Mountain current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


5.09%

Current Dividend Yield

Upcoming Dividend Payment

TodayMay 20 2022Ex Dividend DateJun 14 2022Dividend Pay DateJul 06 202222 days from Ex DividendBuy in the next 24 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: IRM's dividend (5.09%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: IRM's dividend (5.09%) is in the top 25% of dividend payers in the US market (4.07%)


Stability and Growth of Payments

Stable Dividend: IRM's dividends per share have been stable in the past 10 years.

Growing Dividend: IRM's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (109.9%), IRM's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (1465.3%), IRM's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Bill Meaney (61 yo)

9.33yrs

Tenure

US$17,046,118

Compensation

Mr. William L. Meaney, also known as Bill, BSc, MEng, MSIA, serves as Director of State Street Corporation since March 29, 2018. Mr. Meaney serves as Director at State Street Bank and Trust Company (Boston...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD17.05M) is about average for companies of similar size in the US market ($USD13.26M).

Compensation vs Earnings: Bill's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: IRM's management team is considered experienced (4.3 years average tenure).


Board Members

Experienced Board: IRM's board of directors are considered experienced (8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Iron Mountain Incorporated's employee growth, exchange listings and data sources


Key Information

  • Name: Iron Mountain Incorporated
  • Ticker: IRM
  • Exchange: NYSE
  • Founded: 1951
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Implied Market Cap: US$14.824b
  • Shares outstanding: 290.56m
  • Website: https://www.ironmountain.com

Number of Employees


Location

  • Iron Mountain Incorporated
  • One Federal Street
  • Boston
  • Massachusetts
  • 2110
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/19 00:00
End of Day Share Price2022/05/19 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.