Zacks Investment Research downgraded shares of Iron Mountain (NYSE:IRM) from a hold rating to a sell rating in a research note published on Tuesday morning.
According to Zacks, “Shares of Iron Mountain have underperformed its industry in the past six months. Moreover, the trend in estimate revisions of current-year funds from operations (FFO) per share does not indicate an encouraging earnings outlook for the company. The company is investing a lot to grow its business, particularly through acquisitions. Recently, in a bid to expand its portfolio in the Croatia, it acquired Zagreb-based Arhiv Trezor. However, the costs of such initiatives weigh on its financials, especially as the company already has a highly leveraged balance sheet. Moreover, Iron Mountain ’s services business revenues also remain modest. These are expected to hurt results in the near term. Nonetheless, transformation initiatives and continued strong performance of its storage rental business have the capability to drive its long-term growth.”
IRM has been the subject of a number of other reports. TheStreet upgraded Iron Mountain from a c+ rating to a b- rating in a research report on Wednesday, June 20th. ValuEngine lowered Iron Mountain from a hold rating to a sell rating in a research report on Thursday, May 17th. Finally, Goldman Sachs Group assumed coverage on Iron Mountain in a research report on Tuesday, March 27th. They issued a buy rating and a $41.00 price objective for the company. One analyst has rated the stock with a sell rating, two have issued a hold rating, three have assigned a buy rating and one has given a strong buy rating to the stock. The company currently has an average rating of Buy and an average price target of $41.20.
Shares of IRM stock opened at $34.58 on Tuesday. The company has a debt-to-equity ratio of 3.55, a current ratio of 1.24 and a quick ratio of 1.24. The stock has a market capitalization of $9.99 billion, a P/E ratio of 16.48 and a beta of 0.82. Iron Mountain has a 12 month low of $30.78 and a 12 month high of $41.53.
Iron Mountain (NYSE:IRM) last announced its quarterly earnings data on Thursday, April 26th. The financial services provider reported $0.24 EPS for the quarter, topping the Zacks’ consensus estimate of $0.23 by $0.01. The firm had revenue of $1.04 billion during the quarter, compared to analyst estimates of $1.03 billion. Iron Mountain had a return on equity of 14.96% and a net margin of 4.31%. The company’s revenue was up 10.8% on a year-over-year basis. During the same period last year, the company earned $0.48 earnings per share. equities analysts anticipate that Iron Mountain will post 2.07 earnings per share for the current fiscal year.
The business also recently announced a quarterly dividend, which will be paid on Monday, July 2nd. Shareholders of record on Friday, June 15th will be issued a dividend of $0.5875 per share. This represents a $2.35 dividend on an annualized basis and a yield of 6.80%. The ex-dividend date is Thursday, June 14th. Iron Mountain’s dividend payout ratio (DPR) is currently 110.33%.
In other Iron Mountain news, Director Clark H. Bailey sold 9,261 shares of the firm’s stock in a transaction dated Friday, April 27th. The stock was sold at an average price of $34.55, for a total transaction of $319,967.55. Following the transaction, the director now owns 160,855 shares in the company, valued at $5,557,540.25. The sale was disclosed in a document filed with the SEC, which is available through this link. 1.60% of the stock is currently owned by company insiders.
A number of institutional investors and hedge funds have recently modified their holdings of the business. Suntrust Banks Inc. boosted its holdings in Iron Mountain by 24.0% during the first quarter. Suntrust Banks Inc. now owns 31,365 shares of the financial services provider’s stock worth $1,030,000 after buying an additional 6,065 shares during the last quarter. Amalgamated Bank boosted its holdings in Iron Mountain by 7.3% during the first quarter. Amalgamated Bank now owns 63,651 shares of the financial services provider’s stock worth $2,092,000 after buying an additional 4,355 shares during the last quarter. Principal Financial Group Inc. boosted its holdings in Iron Mountain by 1.4% during the first quarter. Principal Financial Group Inc. now owns 431,673 shares of the financial services provider’s stock worth $14,185,000 after buying an additional 6,112 shares during the last quarter. CIBC World Markets Inc. boosted its holdings in Iron Mountain by 172.1% during the first quarter. CIBC World Markets Inc. now owns 34,183 shares of the financial services provider’s stock worth $1,123,000 after buying an additional 21,622 shares during the last quarter. Finally, Xact Kapitalforvaltning AB boosted its holdings in Iron Mountain by 7.9% during the first quarter. Xact Kapitalforvaltning AB now owns 38,917 shares of the financial services provider’s stock worth $1,279,000 after buying an additional 2,852 shares during the last quarter. Hedge funds and other institutional investors own 86.67% of the company’s stock.
About Iron Mountain
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 85 million square feet across more than 1,400 facilities in over 50 countries, Iron Mountain stores and protects billions of valued assets, including critical business information, highly sensitive data, and cultural and historical artifacts.
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