Iron Mountain Inc (IRM) stock analysis

P/E below its 5-year median

Iron Mountain's P/E of 73.5 is below its own 5-year median of 81.7.

P/E above the industry

Iron Mountain's P/E of 73.5 is above the Miscellaneous Investing median of 26.3.

EV/EBITDA below its 5-year median

Iron Mountain's EV/EBITDA of 19.5 is below its 5-year median of 20.0.

P/S above the industry

Iron Mountain's price-to-sales of 4.29 is above the Miscellaneous Investing median of 4.14 (book value is negative, so we use sales).

Trading above fair value

The share price of $112.43 is above our fair value estimate of $69.95.

Margin of safety under 20%

The price is 60.7% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 10.6% a year over the last three fiscal years.

EPS growing under 10% a year

Diluted EPS grew -36.3% a year over the last three fiscal years.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing faster than the industry

Revenue grew 17.5% over the last twelve months; the Miscellaneous Investing median is 4.6%.

Guidance raised

Iron Mountain raised its Full Year 2026 New Total Revenue outlook on Aug 5, 2026.

Gross margin slipping

Gross margin was 53.9% over the last twelve months, against 55.6% a year earlier.

Return on equity

Needs positive equity and five years of results.

Return on capital under 10%

Return on invested capital was 7.8%, below the 10% that usually covers the cost of capital.

Return on equity against the industry

Needs positive equity.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin against its history

Needs five years of revenue and net income.

Net margin against the industry

Needs revenue and net income.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals 9.5% of total debt; we look for at least 20%.

Interest not well covered

Operating income covers interest expense 1.7 times; we look for at least 5.

Short-term assets don't cover short-term debts

Current assets are 0.55 times current liabilities.

Elevated bankruptcy risk

The Altman Z-score is 1.34; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Iron Mountain paid dividends worth 3.1% of the share price over the last twelve months.

Yield below Treasuries

The 3.1% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Iron Mountain yields 3.1%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Earnings cover

Needs dividends paid and net income.

Cash-flow cover

Needs dividends paid and free cash flow.