IRON MOUNTAIN INC (IRM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IRM - US46284V1017 - REIT
81.46 USD
+0.66 (+0.82%)
81.8 USD
+0.34 (+0.42%)
IRM gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 30 industry peers in the Specialized REITs industry. There are concerns on the financial health of IRM while its profitability can be described as average. IRM is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
IRM had positive earnings in the past year.
IRM had a positive operating cash flow in the past year.
Each year in the past 5 years IRM has been profitable.
IRM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IRM has a worse Return On Assets (0.77%) than 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.86%, IRM is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for IRM is in line with the industry average of 4.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.77% | ||
| ROE | N/A | ||
| ROIC | 5.86% |
ROA(3y)1.82%
ROA(5y)2.2%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.88%
ROIC(5y)5.9%
1.3 Margins
IRM has a worse Profit Margin (2.40%) than 66.67% of its industry peers.
IRM's Profit Margin has declined in the last couple of years.
IRM has a Operating Margin of 19.94%. This is in the lower half of the industry: IRM underperforms 73.33% of its industry peers.
In the last couple of years the Operating Margin of IRM has grown nicely.
IRM's Gross Margin of 66.17% is on the low side compared to the rest of the industry. IRM is outperformed by 60.00% of its industry peers.
In the last couple of years the Gross Margin of IRM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.94% | ||
| PM (TTM) | 2.4% | ||
| GM | 66.17% |
OM growth 3Y-0.58%
OM growth 5Y1.53%
PM growth 3Y-33.64%
PM growth 5Y-14.13%
GM growth 3Y-1.38%
GM growth 5Y3.37%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so IRM is destroying value.
IRM has more shares outstanding than it did 1 year ago.
The number of shares outstanding for IRM has been increased compared to 5 years ago.
Compared to 1 year ago, IRM has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.79, we must say that IRM is in the distress zone and has some risk of bankruptcy.
IRM has a Altman-Z score (0.79) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.79 |
ROIC/WACC0.75
WACC7.86%
2.3 Liquidity
A Current Ratio of 0.66 indicates that IRM may have some problems paying its short term obligations.
IRM has a Current ratio (0.66) which is comparable to the rest of the industry.
IRM has a Quick Ratio of 0.66. This is a bad value and indicates that IRM is not financially healthy enough and could expect problems in meeting its short term obligations.
IRM has a Quick ratio (0.66) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
IRM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.73%.
Measured over the past years, IRM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.69% on average per year.
The Revenue has grown by 10.88% in the past year. This is quite good.
Measured over the past years, IRM shows a small growth in Revenue. The Revenue has been growing by 7.61% on average per year.
EPS 1Y (TTM)7.73%
EPS 3Y5.37%
EPS 5Y11.69%
EPS Q2Q%22.73%
Revenue 1Y (TTM)10.88%
Revenue growth 3Y11.04%
Revenue growth 5Y7.61%
Sales Q2Q%12.62%
3.2 Future
Based on estimates for the next years, IRM will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.55% on average per year.
The Revenue is expected to grow by 7.91% on average over the next years.
EPS Next Y12.57%
EPS Next 2Y13.78%
EPS Next 3Y13.55%
EPS Next 5YN/A
Revenue Next Year11.29%
Revenue Next 2Y10.95%
Revenue Next 3Y10.02%
Revenue Next 5Y7.91%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 41.77, the valuation of IRM can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of IRM is on the same level as its industry peers.
IRM is valuated expensively when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 35.15, IRM can be considered very expensive at the moment.
The rest of the industry has a similar Price/Forward Earnings ratio as IRM.
IRM's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 24.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.77 | ||
| Fwd PE | 35.15 |
4.2 Price Multiples
IRM's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.39 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as IRM's earnings are expected to grow with 13.55% in the coming years.
PEG (NY)3.32
PEG (5Y)3.57
EPS Next 2Y13.78%
EPS Next 3Y13.55%
5. Dividend
5.1 Amount
IRM has a Yearly Dividend Yield of 4.38%, which is a nice return.
IRM's Dividend Yield is slightly below the industry average, which is at 5.78.
Compared to an average S&P500 Dividend Yield of 1.88, IRM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.38% |
5.2 History
The dividend of IRM has a limited annual growth rate of 1.86%.
IRM has paid a dividend for at least 10 years, which is a reliable track record.
IRM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)1.86%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
IRM pays out 563.40% of its income as dividend. This is not a sustainable payout ratio.
The dividend of IRM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP563.4%
EPS Next 2Y13.78%
EPS Next 3Y13.55%
81.46
+0.66 (+0.82%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners87.85%
Inst Owner Change2.8%
Ins Owners0.66%
Ins Owner Change0.8%
Market Cap24.08B
Revenue(TTM)6.64B
Net Income(TTM)159.25M
Analysts78.75
Price TargetN/A
Short Float %3.38%
Short Ratio5.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.38% |
Yearly Dividend2.7
Dividend Growth(5Y)1.86%
DP563.4%
Div Incr Years2
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.72%
Min EPS beat(2)-4.95%
Max EPS beat(2)1.52%
EPS beat(4)2
Avg EPS beat(4)-1.82%
Min EPS beat(4)-9.85%
Max EPS beat(4)5.99%
EPS beat(8)4
Avg EPS beat(8)-0.83%
EPS beat(12)6
Avg EPS beat(12)0.64%
EPS beat(16)10
Avg EPS beat(16)2.27%
Revenue beat(2)1
Avg Revenue beat(2)-0.13%
Min Revenue beat(2)-0.95%
Max Revenue beat(2)0.7%
Revenue beat(4)1
Avg Revenue beat(4)-0.89%
Min Revenue beat(4)-2.21%
Max Revenue beat(4)0.7%
Revenue beat(8)3
Avg Revenue beat(8)-0.71%
Revenue beat(12)3
Avg Revenue beat(12)-1.17%
Revenue beat(16)4
Avg Revenue beat(16)-1.19%
PT rev (1m)2.9%
PT rev (3m)0.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.14%
EPS NY rev (1m)-3.53%
EPS NY rev (3m)-3.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.33%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.77 | ||
| Fwd PE | 35.15 | ||
| P/S | 3.63 | ||
| P/FCF | N/A | ||
| P/OCF | 18.94 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.39 |
EPS(TTM)1.95
EY2.39%
EPS(NY)2.32
Fwd EY2.84%
FCF(TTM)-3.99
FCFYN/A
OCF(TTM)4.3
OCFY5.28%
SpS22.46
BVpS-2.98
TBVpS-25.05
PEG (NY)3.32
PEG (5Y)3.57
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.77% | ||
| ROE | N/A | ||
| ROCE | 7.45% | ||
| ROIC | 5.86% | ||
| ROICexc | 5.93% | ||
| ROICexgc | 9.43% | ||
| OM | 19.94% | ||
| PM (TTM) | 2.4% | ||
| GM | 66.17% | ||
| FCFM | N/A |
ROA(3y)1.82%
ROA(5y)2.2%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.88%
ROIC(5y)5.9%
ROICexc(3y)5.95%
ROICexc(5y)5.98%
ROICexgc(3y)10.42%
ROICexgc(5y)10.9%
ROCE(3y)7.47%
ROCE(5y)7.49%
ROICexgc growth 3Y-1.19%
ROICexgc growth 5Y-0.22%
ROICexc growth 3Y1.92%
ROICexc growth 5Y3.27%
OM growth 3Y-0.58%
OM growth 5Y1.53%
PM growth 3Y-33.64%
PM growth 5Y-14.13%
GM growth 3Y-1.38%
GM growth 5Y3.37%
F-Score5
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.72 | ||
| Cap/Depr | 249.69% | ||
| Cap/Sales | 36.91% | ||
| Interest Coverage | 1.58 | ||
| Cash Conversion | 55.16% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 0.79 |
F-Score5
WACC7.86%
ROIC/WACC0.75
Cap/Depr(3y)166.84%
Cap/Depr(5y)132%
Cap/Sales(3y)24%
Cap/Sales(5y)19.37%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.73%
EPS 3Y5.37%
EPS 5Y11.69%
EPS Q2Q%22.73%
EPS Next Y12.57%
EPS Next 2Y13.78%
EPS Next 3Y13.55%
EPS Next 5YN/A
Revenue 1Y (TTM)10.88%
Revenue growth 3Y11.04%
Revenue growth 5Y7.61%
Sales Q2Q%12.62%
Revenue Next Year11.29%
Revenue Next 2Y10.95%
Revenue Next 3Y10.02%
Revenue Next 5Y7.91%
EBIT growth 1Y11.03%
EBIT growth 3Y10.4%
EBIT growth 5Y9.25%
EBIT Next Year121.52%
EBIT Next 3Y38.76%
EBIT Next 5Y32.25%
FCF growth 1Y-448.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y23.01%
OCF growth 3Y16.4%
OCF growth 5Y4.36%
IRON MOUNTAIN INC / IRM FAQ
Can you provide the ChartMill fundamental rating for IRON MOUNTAIN INC?
ChartMill assigns a fundamental rating of 3 / 10 to IRM.
Can you provide the valuation status for IRON MOUNTAIN INC?
ChartMill assigns a valuation rating of 1 / 10 to IRON MOUNTAIN INC (IRM). This can be considered as Overvalued.
What is the profitability of IRM stock?
IRON MOUNTAIN INC (IRM) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for IRM stock?
The Price/Earnings (PE) ratio for IRON MOUNTAIN INC (IRM) is 41.77 and the Price/Book (PB) ratio is -27.3.
Can you provide the financial health for IRM stock?
The financial health rating of IRON MOUNTAIN INC (IRM) is 1 / 10.