Analyst Eric Luebchow of Wells Fargo reiterated a Buy rating on Iron Mountain (IRM – Research Report), retaining the price target of $125.00.
Eric Luebchow has given his Buy rating due to a combination of factors that highlight Iron Mountain’s strong performance and growth potential. The company has shown resilience in its RIM Storage segment, achieving a revenue increase of approximately 5.7%, which could have been higher if not for the impact of its Clutter business. This steady performance is expected to continue, with pricing actions already implemented and a stable outlook for physical volumes.
Additionally, Iron Mountain’s data center leasing, although lighter in the first quarter, is on track to meet its annual target, supported by significant capacity in key locations. The ALM segment also demonstrated robust growth, with organic growth of around 22% and expectations for further expansion. The company’s revenue guidance has been raised, reflecting operational upside and new federal contracts, which further strengthens its financial outlook. Overall, the anticipated AFFO/share growth and reasonable valuation multiples make Iron Mountain an attractive investment opportunity.
Luebchow covers the Real Estate sector, focusing on stocks such as American Tower, Crown Castle, and Digital Realty. According to TipRanks, Luebchow has an average return of 5.2% and a 52.49% success rate on recommended stocks.
In another report released today, Barclays also maintained a Buy rating on the stock with a $118.00 price target.