Trading Analysis Report: IRM
- Analysis date: 2026-05-31
- Processed decision: Hold
- Price Target: 135
I. Analyst Team Reports
Market Analyst
Market Report
Iron Mountain (IRM) closed at $128.25 on May 29, 2026. yfinance showed a 52-week range of $77.77-$134.09, a 50-day average of $116.41, and a 200-day average of $101.12.
Momentum is strong. The local yfinance history showed a +29.9% one-year return and a +54.1% YTD return.
StockAnalysis ranked IRM #36 on its AI stocks list by market capitalization. IRM is not an AI software company, but its data center, digital, and asset lifecycle management businesses are tied to enterprise data growth, cloud infrastructure, AI infrastructure demand, and IT asset turnover.
Market read: strong execution and raised guidance support the stock, but valuation, leverage, and a price near the 52-week high keep the rating at Hold with a $135 target.
Sentiment Analyst
Sentiment Report
Sentiment toward IRM is positive after record Q1 2026 results and increased guidance.
Iron Mountain reported Q1 2026 revenue of $1.9 billion, up 21.6% on a reported basis and 18.6% excluding foreign exchange. Organic revenue growth was 17.2% year over year.
Growth businesses of data center, digital, and asset lifecycle management collectively grew more than 50% year over year in Q1 2026.
AFFO was $426.1 million, up 22.3%, and AFFO per share was $1.43, up from $1.17 in Q1 2025.
Sentiment read: Hold because operating momentum is strong, but the stock has already rerated sharply and leverage remains high.
News Analyst
News Report
The key current source is Iron Mountain's Q1 2026 earnings release.
Iron Mountain achieved quarterly revenue of $1.9 billion, up 21.6% on a reported basis and 18.6% excluding foreign exchange. Organic revenue growth was 17.2% year over year.
Growth businesses of data center, digital, and asset lifecycle management collectively grew more than 50% year over year.
Q1 2026 net income was $149 million, compared with $16 million in Q1 2025. Adjusted EBITDA was $708 million, up 22.1% from $580 million in Q1 2025.
AFFO was $426.1 million, up 22.3%, and AFFO per share was $1.43, up from $1.17 in Q1 2025.
Iron Mountain increased full-year 2026 guidance to revenue of $7.825-$7.925 billion, adjusted EBITDA of $2.925-$2.965 billion, AFFO of $1.735-$1.755 billion, and AFFO per share of $5.79-$5.86.
News read: the business is executing well, and the data center/digital pivot is visible in reported growth.
Fundamentals Analyst
Fundamentals Report
IRM fundamentals are improving, but the balance sheet and valuation require discipline.
The Q2 2026 dividend was declared at $0.864 per share, supporting the income component of the REIT story.
Using the full-year AFFO per share guidance midpoint of $5.825, the latest close of $128.25 implies roughly 22.0x 2026 AFFO per share. That is a premium multiple for a REIT, but it reflects stronger growth businesses and data center exposure.
yfinance showed market cap of approximately $38.16 billion, enterprise value of approximately $57.96 billion, total revenue of approximately $7.25 billion, dividend yield of 2.69%, total cash of approximately $250.7 million, and total debt of approximately $19.72 billion.
Fundamental read: Hold because AFFO growth is strong, while debt and valuation limit upside.
II. Research Team Decision
Bull Researcher
Bull Research
The bull case is that Iron Mountain is becoming a higher-growth data center and digital infrastructure REIT while retaining recurring storage cash flows.
Q1 2026 revenue increased 21.6%, organic revenue grew 17.2%, and adjusted EBITDA increased 22.1%.
The growth businesses of data center, digital, and ALM collectively grew more than 50% year over year, which supports the AI infrastructure linkage.
Full-year 2026 guidance was raised, including AFFO per share of $5.79-$5.86.
Bull conclusion: IRM can reach $135 if data center, digital, and ALM growth stays above expectations while AFFO guidance continues to rise.
Bear Researcher
Bear Research
The bear case is valuation and leverage.
IRM closed at $128.25, close to the $134.09 52-week high. The stock is up 54.1% YTD and trades at about 22.0x the midpoint of 2026 AFFO per share guidance.
yfinance showed total debt of approximately $19.72 billion against total cash of approximately $250.7 million. Enterprise value was approximately $57.96 billion, well above market cap.
REITs are sensitive to interest rates, capital markets, data center power availability, and development execution. yfinance also showed free cash flow of approximately -$499.5 million, reflecting the capital intensity of growth.
Bear conclusion: IRM is a strong operator, but the risk/reward is balanced after the rally.
Research Manager
Research Manager Synthesis
The bull case is record quarterly revenue, raised guidance, AFFO growth, strong growth businesses, data center exposure, digital transformation, and a durable dividend.
The bear case is premium AFFO valuation, high debt, capital intensity, rate sensitivity, and a share price near the 52-week high.
The correct conclusion is Hold. The $135 target is slightly above the 52-week high and reflects continued execution without assuming further multiple expansion.
Synthesis: assign Hold with a $135 target.
III. Trading Team Plan
Trader
Trader View
IRM is a quality momentum hold.
The stock is above both the $116.41 50-day average and the $101.12 200-day average. It is close to the $134.09 52-week high.
Upside trigger: data center, digital, and ALM growth above the Q1 pace, further AFFO guidance increases, stable interest rates, and continued dividend confidence.
Downside trigger: debt-cost pressure, data center development delays, power constraints, weaker ALM demand, or valuation compression.
Trading plan: Hold with a $135 6-12 month base-case target.
IV. Risk Management Team Decision
Aggressive Analyst
Aggressive Risk View
Aggressive investors may hold IRM for data center and AI infrastructure exposure embedded in a REIT platform.
However, the stock is close to its 52-week high, and the upside case depends on sustained high growth in data center, digital, and ALM.
Aggressive conclusion: Hold.
Conservative Analyst
Conservative Risk View
Conservative investors should acknowledge the income and AFFO growth, but should not ignore leverage.
The dividend is attractive, but total debt of approximately $19.72 billion and a premium AFFO multiple argue against aggressive buying at the current price.
Conservative conclusion: Hold.
Neutral Analyst
Neutral Risk View
The neutral view is constructive but balanced.
IRM is executing well, and the raised guidance is meaningful. The valuation and debt load are also meaningful.
The $135 target reflects modest upside if execution remains strong.
Neutral conclusion: Hold.
V. Portfolio Manager Decision
Portfolio Manager
Portfolio Manager Decision
Rating: Hold Price Target: 135
Horizon: 6-12 months Current Price Reference: $128.25 close on 2026-05-29
Iron Mountain is rated Hold. IRM is a specialty REIT in the web-researched AI universe because its data center, digital, and asset lifecycle management businesses are exposed to enterprise data growth, cloud infrastructure, AI infrastructure demand, and IT asset turnover.
Iron Mountain reported Q1 2026 quarterly revenue of $1.9 billion, up 21.6% on a reported basis and 18.6% excluding foreign exchange. Organic revenue growth was 17.2% year over year.
Growth businesses of data center, digital, and asset lifecycle management collectively grew more than 50% year over year in Q1 2026.
Q1 2026 net income was $149 million, compared with $16 million in Q1 2025. Adjusted EBITDA was $708 million, up 22.1% from $580 million in Q1 2025.
AFFO was $426.1 million, up 22.3%, and AFFO per share was $1.43, up from $1.17 in Q1 2025. Iron Mountain declared a Q2 2026 quarterly cash dividend of $0.864 per share.
Iron Mountain increased full-year 2026 guidance to total revenue of $7.825-$7.925 billion, adjusted EBITDA of $2.925-$2.965 billion, AFFO of $1.735-$1.755 billion, and AFFO per share of $5.79-$5.86.
yfinance showed a latest close of $128.25, market cap of approximately $38.16 billion, enterprise value of approximately $57.96 billion, 52-week range of $77.77-$134.09, price/sales of 5.27x, dividend yield of 2.69%, total revenue of approximately $7.25 billion, total cash of approximately $250.7 million, and total debt of approximately $19.72 billion.
Using the full-year 2026 AFFO per share guidance midpoint of $5.825, IRM trades at about 22.0x AFFO per share. The main risks are leverage, interest rates, capital intensity, data center power availability, development execution, and valuation compression after a 54.1% YTD rally.
The $135 target is slightly above the 52-week high. Hold is appropriate because growth is strong, but the stock already discounts a large part of the data center and digital transformation story.