📊 IRM Key Takeaways
Is Iron Mountain Inc. (IRM) a Good Investment?
Iron Mountain exhibits deteriorating financial health despite 12.2% revenue growth, with net income declining 5.0% YoY and EPS down 19.7%. Critical red flags include negative stockholders' equity of -$1.2B, dangerously low interest coverage of 1.5x, negative free cash flow of -$179.5M, and a working capital deficit (current ratio 0.77x), indicating the company cannot sustainably service its $17.1B debt burden.
Iron Mountain shows solid top-line momentum and healthy operating profitability, with revenue up 12.2% year over year and operating income reaching $1.16B. However, earnings quality is constrained by thin net margins, declining EPS, heavy leverage, negative equity, and deeply negative free cash flow driven by elevated capital spending. The fundamentals support a balanced view: the business is growing, but the balance sheet and cash flow profile materially raise risk.
Why Buy Iron Mountain Inc. Stock? IRM Key Strengths
- Strong revenue growth of 12.2% YoY demonstrates demand for core business
- Positive operating cash flow of $338.6M shows underlying operational cash generation
- Operating margin of 20.4% reflects operational efficiency in core business activities
- Revenue growth remains strong at 12.2% year over year, indicating durable demand and expansion capacity
- Operating margin of 16.9% and $1.34B of operating cash flow show the core business remains cash generative
- Interest coverage of 4.5x suggests debt service is currently manageable despite a large debt load
IRM Stock Risks: Iron Mountain Inc. Investment Risks
- Negative stockholders' equity of -$1.2B indicates liabilities exceed total assets and insolvency risk
- Interest coverage ratio of 1.5x is dangerously low with minimal debt service margin; vulnerable to any operational downturn
- Negative free cash flow of -$179.5M despite positive operations indicates capex requirements ($518.0M) exceed cash generation, forcing debt reliance
- Working capital deficit (current ratio 0.77x) creates near-term liquidity pressure
- Declining net income (-5.0% YoY) and EPS (-19.7% YoY) despite revenue growth indicates deteriorating profitability
- Long-term debt of $16.43B and negative stockholders equity indicate an aggressive capital structure
- Free cash flow of negative $931.63M and capex of $2.27B raise concerns about cash conversion and funding needs
- Low liquidity, with a 0.74x current ratio and 0.73x quick ratio, leaves less flexibility if operating conditions weaken
Key Metrics to Watch
- Interest coverage ratio trajectory and debt refinancing success
- Free cash flow sustainability and path to positive FCF
- Stockholders' equity recovery and balance sheet deleveraging
- Operating cash flow stability amid any revenue slowdown
- Free cash flow improvement relative to capital expenditures
- Leverage and interest coverage trends versus operating cash flow
Iron Mountain Inc. (IRM) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
IRM Profit Margin, ROE & Profitability Analysis
IRM vs Real Estate Sector: How Iron Mountain Inc. Compares
How Iron Mountain Inc. compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Iron Mountain Inc. Stock Overvalued? IRM Valuation Analysis 2026
Based on fundamental analysis, Iron Mountain Inc. has mixed fundamental signals relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Iron Mountain Inc. Balance Sheet: IRM Debt, Cash & Liquidity
IRM Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Iron Mountain Inc.'s revenue has grown significantly by 326% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.63 reflects profitable operations.
IRM Revenue Growth, EPS Growth & YoY Performance
IRM Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.6B | $16.2M | $0.05 |
| Q3 2025 | $1.6B | -$33.7M | $-0.11 |
| Q2 2025 | $1.5B | -$27.1M | $-0.10 |
| Q1 2025 | $1.5B | $16.2M | $0.05 |
| Q3 2024 | $1.4B | -$33.7M | $-0.11 |
| Q2 2024 | $1.4B | $1.1M | $0.00 |
| Q1 2024 | $1.3B | $65.5M | $0.22 |
| Q3 2023 | $1.3B | $91.4M | $0.31 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Iron Mountain Inc. Dividends, Buybacks & Capital Allocation
IRM SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Iron Mountain Inc. (CIK: 0001020569)
📋 Recent SEC Filings
❓ Frequently Asked Questions about IRM
What is the AI rating for IRM?
Iron Mountain Inc. (IRM) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 78% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are IRM's key strengths?
Claude: Strong revenue growth of 12.2% YoY demonstrates demand for core business. Positive operating cash flow of $338.6M shows underlying operational cash generation. ChatGPT: Revenue growth remains strong at 12.2% year over year, indicating durable demand and expansion capacity. Operating margin of 16.9% and $1.34B of operating cash flow show the core business remains cash generative.
What are the risks of investing in IRM?
Claude: Negative stockholders' equity of -$1.2B indicates liabilities exceed total assets and insolvency risk. Interest coverage ratio of 1.5x is dangerously low with minimal debt service margin; vulnerable to any operational downturn. ChatGPT: Long-term debt of $16.43B and negative stockholders equity indicate an aggressive capital structure. Free cash flow of negative $931.63M and capex of $2.27B raise concerns about cash conversion and funding needs.
What is IRM's revenue and growth?
Iron Mountain Inc. reported revenue of $1.9B.
Does IRM pay dividends?
Iron Mountain Inc. pays dividends, with $275.6M distributed to shareholders in the trailing twelve months.
Where can I find IRM SEC filings?
Official SEC filings for Iron Mountain Inc. (CIK: 0001020569) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is IRM's EPS?
Iron Mountain Inc. has a diluted EPS of $0.48.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is IRM a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Iron Mountain Inc. has a SELL rating with 78% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is IRM stock overvalued or undervalued?
Valuation metrics for IRM: ROE of N/A (sector avg: 8%), net margin of 7.4% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
Should I buy IRM stock in 2026?
Our dual AI analysis gives Iron Mountain Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is IRM's free cash flow?
Iron Mountain Inc.'s operating cash flow is $338.6M, with capital expenditures of $518.0M. FCF margin is -9.3%.
How does IRM compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin 7.4% (avg: 20%), ROE N/A (avg: 8%), current ratio 0.77 (avg: 1.5).