Iron Mountain Incorporated (IRM) Upgraded to Hold by Zacks Investment Research
Zacks Investment Research upgraded shares of Iron Mountain Incorporated (NYSE:IRM) from a sell rating to a hold rating in a research note released on Thursday morning.
According to Zacks, “Iron Mountain’s third quarter 2017 FFO missed estimates but showed a year-over-year improvement. The company is investing a lot in setting up its data center business. It recently acquired FORTRUST for $128 million. The costs of such initiatives weigh on its financials, especially as the company already has a highly leveraged balance sheet. The company’s services business revenues also remain modest. Besides, forex fluctuations, fragmented nature of the industry and stiff competition continue to be overhangs. However, shares have outperformed the industry in the past one year. Revenues this quarter were driven by synergies from Recall Holdings acquisition, transformation initiatives and continued strong performance of its storage rental business. Aggressive acquisitions along with diversified revenue base, a strong product portfolio and cost cutting initiatives bode well for long-term growth.”
Several other brokerages have also issued reports on IRM. Stifel Nicolaus reissued a buy rating and issued a $43.00 price target (up previously from $40.00) on shares of Iron Mountain in a report on Friday, October 20th. Robert W. Baird boosted their price target on shares of Iron Mountain from $39.00 to $43.00 and gave the company a neutral rating in a report on Wednesday, October 25th. BidaskClub raised shares of Iron Mountain from a hold rating to a buy rating in a report on Wednesday, July 5th. Finally, Evercore ISI assumed coverage on shares of Iron Mountain in a report on Wednesday, October 18th. They issued an outperform rating and a $46.00 price target on the stock. One research analyst has rated the stock with a sell rating, two have given a hold rating, two have given a buy rating and one has assigned a strong buy rating to the company. The company currently has a consensus rating of Buy and a consensus target price of $41.20.
Shares of Iron Mountain (NYSE IRM) traded up $0.53 during trading on Thursday, reaching $40.65. 583,466 shares of the company’s stock traded hands, compared to its average volume of 1,123,962. The company has a market cap of $10,709.52, a price-to-earnings ratio of 19.29, a PEG ratio of 6.26 and a beta of 1.02. The company has a debt-to-equity ratio of 3.59, a current ratio of 1.08 and a quick ratio of 1.08. Iron Mountain has a 12-month low of $30.75 and a 12-month high of $41.17.
Iron Mountain (NYSE:IRM) last announced its quarterly earnings results on Tuesday, October 24th. The financial services provider reported $0.31 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.29 by $0.02. The firm had revenue of $966.00 million for the quarter, compared to analyst estimates of $960.99 million. Iron Mountain had a net margin of 5.54% and a return on equity of 15.49%. The business’s revenue for the quarter was up 2.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.44 EPS. sell-side analysts forecast that Iron Mountain will post 2.14 EPS for the current year.
The company also recently announced a quarterly dividend, which will be paid on Tuesday, January 2nd. Stockholders of record on Friday, December 15th will be issued a $0.5875 dividend. This is a positive change from Iron Mountain’s previous quarterly dividend of $0.55. The ex-dividend date of this dividend is Thursday, December 14th. This represents a $2.35 annualized dividend and a dividend yield of 5.78%. Iron Mountain’s dividend payout ratio is presently 275.00%.
In other news, EVP Theodore Maclean sold 1,500 shares of the company’s stock in a transaction dated Monday, October 9th. The shares were sold at an average price of $38.13, for a total value of $57,195.00. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP Patrick J. Keddy sold 23,428 shares of the company’s stock in a transaction dated Wednesday, October 11th. The stock was sold at an average price of $39.04, for a total transaction of $914,629.12. The disclosure for this sale can be found here. In the last ninety days, insiders sold 76,329 shares of company stock worth $2,969,441. 1.50% of the stock is owned by insiders.
Several institutional investors and hedge funds have recently bought and sold shares of the company. Commonwealth of Pennsylvania Public School Empls Retrmt SYS lifted its position in Iron Mountain by 0.3% during the 2nd quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 18,249 shares of the financial services provider’s stock worth $627,000 after buying an additional 56 shares in the last quarter. Louisiana State Employees Retirement System lifted its position in Iron Mountain by 0.7% during the 2nd quarter. Louisiana State Employees Retirement System now owns 15,200 shares of the financial services provider’s stock worth $522,000 after buying an additional 100 shares in the last quarter. Trust Investment Advisors lifted its position in Iron Mountain by 0.3% during the 2nd quarter. Trust Investment Advisors now owns 37,090 shares of the financial services provider’s stock worth $1,274,000 after buying an additional 115 shares in the last quarter. Meeder Asset Management Inc. lifted its position in Iron Mountain by 0.5% during the 2nd quarter. Meeder Asset Management Inc. now owns 24,290 shares of the financial services provider’s stock worth $834,000 after buying an additional 132 shares in the last quarter. Finally, Creative Planning lifted its position in Iron Mountain by 4.6% during the 2nd quarter. Creative Planning now owns 3,049 shares of the financial services provider’s stock worth $105,000 after buying an additional 134 shares in the last quarter. 87.30% of the stock is currently owned by institutional investors and hedge funds.
Iron Mountain Company Profile
Iron Mountain Incorporated (Iron Mountain) is engaged in storing records, primarily paper documents and data backup media, and provide information management services. The Company offers records management services, data protection and recovery services and information destruction services. Its information management services are divided into three categories: records management services, data protection and recovery services, and information destruction services.
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