Zacks Investment Research downgraded shares of Iron Mountain (NYSE:IRM) from a buy rating to a hold rating in a research note released on Friday morning.
According to Zacks, “Shares of Iron Mountain have outperformed its industry over the past month. In late November, the company announced plans to integrate the Carbonite Data Protection Platform into its Iron Cloud platform. Notably, strategic acquisitions, in a bid to strengthen its global footprint, will drive top-line growth in the future. Also, solid performance of its storage rental business also remains a positive. Further, transformation measures, including expansion of data-center and Records Management businesses augur well for long-term sustainability. Yet, the costs of such efforts weigh on its financials, especially as the company already has a highly leveraged balance sheet. Further, rate hike adds to its woes. In addition, the company faces stiff competition from other players that reduces its pricing power.”
A number of other research analysts also recently issued reports on the company. Bank of America assumed coverage on Iron Mountain in a report on Tuesday, November 20th. They issued a neutral rating and a $34.00 price target on the stock. ValuEngine upgraded Iron Mountain from a sell rating to a hold rating in a report on Tuesday, November 13th. Barclays cut their price target on Iron Mountain from $37.00 to $36.00 and set an equal weight rating on the stock in a report on Tuesday, October 30th. Stifel Nicolaus downgraded Iron Mountain from a buy rating to a hold rating and cut their price target for the company from $39.00 to $34.00 in a report on Friday, October 26th. Finally, Berenberg Bank began coverage on Iron Mountain in a research report on Thursday, September 20th. They issued a buy rating and a $52.00 price objective for the company. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and two have assigned a buy rating to the company. Iron Mountain currently has an average rating of Hold and a consensus target price of $37.00.
Iron Mountain (NYSE:IRM) last announced its quarterly earnings results on Thursday, October 25th. The financial services provider reported $0.28 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.27 by $0.01. Iron Mountain had a return on equity of 14.71% and a net margin of 5.49%. The business had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.05 billion. Research analysts predict that Iron Mountain will post 2.13 EPS for the current year.
The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, January 3rd. Stockholders of record on Monday, December 17th will be given a $0.611 dividend. This is a boost from Iron Mountain’s previous quarterly dividend of $0.59. The ex-dividend date of this dividend is Friday, December 14th. This represents a $2.44 dividend on an annualized basis and a dividend yield of 7.18%. Iron Mountain’s dividend payout ratio (DPR) is presently 110.33%.
Several institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. boosted its position in shares of Iron Mountain by 0.3% in the 3rd quarter. Vanguard Group Inc. now owns 43,901,848 shares of the financial services provider’s stock worth $1,515,491,000 after purchasing an additional 138,607 shares in the last quarter. Capital World Investors boosted its position in shares of Iron Mountain by 5.6% in the 3rd quarter. Capital World Investors now owns 34,241,200 shares of the financial services provider’s stock worth $1,182,006,000 after purchasing an additional 1,804,600 shares in the last quarter. BlackRock Inc. boosted its position in shares of Iron Mountain by 2.6% in the 3rd quarter. BlackRock Inc. now owns 19,893,119 shares of the financial services provider’s stock worth $686,710,000 after purchasing an additional 509,524 shares in the last quarter. Cohen & Steers Inc. boosted its position in shares of Iron Mountain by 13.5% in the 3rd quarter. Cohen & Steers Inc. now owns 6,513,831 shares of the financial services provider’s stock worth $224,857,000 after purchasing an additional 775,629 shares in the last quarter. Finally, Morgan Stanley boosted its position in shares of Iron Mountain by 45.8% in the 3rd quarter. Morgan Stanley now owns 4,508,612 shares of the financial services provider’s stock worth $155,638,000 after purchasing an additional 1,416,410 shares in the last quarter. 88.17% of the stock is owned by hedge funds and other institutional investors.
Iron Mountain Company Profile
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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