Iron Mountain's Valuation Gap Is Narrowing -
- Remember that the “valuation gap” is the difference between a seller’s asking price and the market value of a company.
- Iron Mountain’s valuation gap has significantly narrowed over the last few months.
- Many people consider Iron Mountain a document storage business, not a REIT that owns real estate.
My first article on Iron Mountain (IRM) was on December 15, 2014 and at the time I wrote that “before I provide an entry price for this one, I'm going to wait a few quarters - monitor the REIT transition, management team, and core operating model. So far though, I like what I see and I believe Iron Mountain could provide a repeatable and predictable blueprint for dividend investors."
Then in on November 2015, I decided to take a position, and in an article, I explained,
I am initiating a BUY recommendation on Iron Mountain. I believe that the shares are trading at a discount compared with the P/FFO and Dividend yield metrics and, accordingly, the market does not quite know how to value the complex storage REIT.
See the full article at https://seekingalpha.com/article/4095700-iron-mountains-valuation-gap-narrowing