Jefferies assumes coverage of Iron Mountain with Buy rating

Jefferies initiated coverage of Iron Mountain (NYSE:IRM) with a "Buy" rating and a price target of $120.00, following an increase in share prices to $100.23.

The firm highlighted Iron Mountain's strategic transformation towards growth in data centers, digital solutions, and asset lifecycle management, expecting these sectors to represent approximately 44% of total revenue by 2029.

Jefferies estimates a price-to-earnings multiple of 21 times its projected Adjusted Funds From Operations (AFFO) of $5.72 for 2026, reflecting strong future growth potential.

While Jefferies and the consensus among analysts recommend a "Buy," the authors and Quant Rating system categorize the stock's current stance as a "Hold."

Investment Recommendation: Buy Rating for Iron Mountain

Iron Mountain (NYSE:IRM) saw a rise in its share prices following Jefferies' initiation of coverage with a "Buy" rating and a price target set at $120.00.

On Monday, shares increased by 0.34%, reaching $100.23 during market opening.

Jefferies explained that "Iron Mountain is undergoing a significant strategic transformation, facilitating accelerated growth in data centers, digital solutions, and asset lifecycle management."

The firm noted that Iron Mountain's extensive customer base, comprising 240,000 clients worldwide, enhances its capacity to drive cross-selling opportunities in these expanding sectors. They anticipate these segments will contribute approximately 44% of total revenue by 2029, with an impressive annual growth rate of nearly 25%.

The targeted price suggests a price-to-earnings multiple of 21 times Jefferies' estimated Adjusted Funds From Operations (AFFO) of $5.72 for 2026.

Jefferies’ strong rating aligns with the consensus opinion among sell-side analysts, which is also "Buy." However, both the authors and the Quant Rating system identify the stock's current standing as "Hold."