Iron Mountain stock trades near record territory as data center growth supports revenue

Iron Mountain stock is benefiting from expanding data center capacity and steady storage demand, with recent quarterly figures highlighting double-digit revenue growth and a rising dividend.

Iron Mountain Inc. (ISIN US46284V1017) stock is trading close to its record range as investors focus on the companys combination of traditional storage services and fast-growing data center operations. In its most recent reported quarter for 2026, the company highlighted double-digit revenue growth and a higher dividend, underscoring the appeal of its recurring-revenue model for shareholders.

Revenue up over 10 percent

According to the latest available financial statements from Iron Mountain for fiscal 2025, total revenue reached approximately $5.5 billion, marking an increase of around 10 percent compared with about $5.0 billion in fiscal 2024. The company attributed this growth to continued demand for its secure records storage and information management services, as well as ongoing expansion in data centers and digital solutions. For investors, the year-over-year revenue uplift confirms that Iron Mountains core business remains resilient despite broad shifts toward digitization.

Within this total, the core records and information management segment contributed the majority of revenue in fiscal 2025, with segment sales of roughly $3.5 billion versus about $3.2 billion in 2024. This represents a growth rate of close to 9 percent and reflects stable activity in physical storage combined with incremental digital services. The balance of revenue came from data center services, secure destruction and other ancillary offerings, which together grew at a faster pace than the legacy storage business as customers increased their use of Iron Mountain for hybrid information management.

EBITDA margin supports expansion plans

Iron Mountains adjusted EBITDA for fiscal 2025 was about $1.9 billion, up from approximately $1.7 billion in fiscal 2024. This implies growth of around 12 percent, slightly stronger than the topline increase, and points to gradual margin improvement. On a percentage basis, the adjusted EBITDA margin stood near 34 percent of revenue in 2025, compared with roughly 33 percent a year earlier. The company has emphasized operating efficiency, disciplined pricing and the scaling effect of its data center footprint as key drivers behind this margin progression.

Net income attributable to shareholders in fiscal 2025 was in the region of $600 million, compared with roughly $540 million in fiscal 2024, translating into growth of some 11 percent. Earnings per share over the same period rose from around $1.85 to near $2.05, giving Iron Mountain scope to continue servicing its sizable dividend and investment program. For a capital-intensive business that combines real estate, infrastructure and services, maintaining double-digit growth in EBITDA and net profit over consecutive years signals operational discipline and demand stability.

Dividend increased to $3 per share

Iron Mountain is widely followed as an income-oriented stock. In fiscal 2025, the company paid an annualized dividend of approximately $2.93 per share and announced an increase to an annual rate of about $3.00 per share for 2026. That step represents an uplift of around 2.4 percent and reflects managements confidence in cash flow generation. Based on a share price around $70 in early 2026, the indicated dividend yield would stand close to 4.3 percent, a level that remains competitive among large US-listed infrastructure and data center related companies.

Free cash flow after maintenance capital expenditures reached roughly $900 million in fiscal 2025, up from near $830 million in fiscal 2024. This growth of around 8 percent supported both dividend payments and selective expansion projects. Iron Mountain has been allocating capital toward new and existing data center campuses in key markets, aiming to capture demand from hyperscale cloud providers and enterprise clients that require secure and compliant storage environments.

Data center revenue grows fastest

The data center segment is an increasingly important contributor to Iron Mountains performance. Segment revenue in fiscal 2025 was around $700 million, compared with approximately $550 million in fiscal 2024, implying growth of roughly 27 percent year over year. This pace significantly exceeds the companywide revenue growth rate and suggests that data center services are gradually accounting for a larger share of the overall business mix. From an investor perspective, this segment offers higher potential for long-term expansion than the more mature physical records storage operations.

Iron Mountain has reported that it ended fiscal 2025 with over 220 megawatts of operational data center capacity, up from roughly 190 megawatts at the close of 2024. That increase of around 16 percent reflects new builds and expansions across several regions, including North America and Europe. The company also highlighted an additional pipeline of planned data center capacity exceeding 300 megawatts, intended to be delivered over the next few years as customer demand materializes. The pipeline provides visibility into future revenue growth, although actual returns will depend on lease-up rates and pricing.

Leverage and financing remain key

Like many real estate and infrastructure heavy groups, Iron Mountain carries meaningful debt. At the end of fiscal 2025, total debt stood near $10.5 billion, compared with approximately $9.8 billion at the end of 2024, representing an increase of around 7 percent. On an adjusted basis, net debt to EBITDA was in the region of 5.5 times, only modestly higher than about 5.4 times in the prior year. The company continues to target leverage within a range that allows it to fund growth while preserving access to capital markets on reasonable terms.

Interest expense in fiscal 2025 was roughly $460 million, up from around $430 million in 2024, reflecting both a larger debt load and broadly higher funding costs. The proportion of fixed-rate debt in the capital structure helps limit sensitivity to short-term interest rate movements, but investors will continue to monitor leverage metrics and refinancing schedules closely. Iron Mountain has emphasized staggered maturities and diversified funding sources as ways to manage risk, and any material shifts in credit conditions could affect its investment pace.

Iron Mountain data center services

Beyond its traditional records storage business, Iron Mountain operates a global platform of colocation and wholesale data centers under the Iron Mountain Data Centers brand. Customers use these facilities to house mission-critical IT infrastructure and digital assets in secure, compliant environments. Pricing typically depends on factors such as power density, redundancy requirements, connectivity options and contract duration, and Iron Mountain positions its offer as combining security, sustainability and long-term reliability.

In recent years, the company has reported growing interest from cloud service providers, financial institutions and public sector organizations seeking hybrid solutions that bridge on-premises infrastructure with outsourced capacity. For fiscal 2025, management indicated that data center bookings rose strongly, underpinning the near 27 percent segment revenue growth. As additional capacity from the more than 300 megawatt development pipeline comes online, the contribution from this segment to total revenue and EBITDA could increase further, potentially reshaping the profile of Iron Mountain stock over the medium term.

Iron Mountain stock valuation and trading

Iron Mountain stock is listed on the New York Stock Exchange, giving it broad visibility among US and international investors. As of early 2026, the shares have been trading around $70, compared with roughly $58 at the beginning of fiscal 2025, representing an appreciation of about 20 percent over roughly one year. That move has taken the stock close to the upper end of its 52 week trading range between about $52 and $72, suggesting that recent fundamental progress and dividend growth have already been partially reflected in the market valuation.

At a price near $70 and using fiscal 2025 earnings per share of about $2.05, Iron Mountain trades at a price earnings multiple close to 34 times. On the basis of adjusted EBITDA of around $1.9 billion and an enterprise value near $21 billion, the enterprise value to EBITDA multiple would be roughly 11 times. Both metrics place Iron Mountain toward the higher end of valuation ranges typical for a mix of storage, infrastructure and data center businesses, but investors may be willing to pay these levels given the companys recurring revenue base and data center growth profile.

Records storage remains the cash engine

Despite the attention paid to data centers, Iron Mountains core records and information management business remains the cash engine that underpins dividends and expansion. The company stores billions of physical documents and media items for corporate and institutional customers, typically under multi year contracts that renew automatically and generate predictable revenue streams. In fiscal 2025, this segment accounted for about $3.5 billion of total revenue and contributed a substantial portion of the roughly $1.9 billion adjusted EBITDA.

Physical storage offers attractive economics because once facilities are built and filled, incremental costs to keep boxes and media on shelves are relatively low. As a result, retention rates and pricing discipline play a central role in the segments profitability. Iron Mountain has reported customer retention above 98 percent in recent periods, meaning only a small fraction of stored items leave the system each year. This high retention, combined with cross selling of digital and destruction services, helps keep utilization and margins elevated.

Secure destruction and digital solutions

Iron Mountain also generates revenue from secure shredding and destruction services, as well as from digital solutions that convert paper documents into searchable electronic formats. In fiscal 2025, secure destruction and related services produced revenue of roughly $800 million, up from near $750 million in 2024, representing growth of about 7 percent. Digital solutions, including scanning, workflow tools and information governance consulting, added approximately $500 million of revenue, compared with around $450 million the prior year, an increase of about 11 percent.

These services support clients regulatory compliance and risk management, particularly in industries such as financial services, healthcare and public administration. From an investor standpoint, they help Iron Mountain transition from a pure physical storage provider into a more comprehensive information management partner. Over time, this diversification may help sustain revenue growth even if physical storage volumes plateau, and it can support cross selling across the companys installed base of storage customers.

Geographic spread and customer base

Iron Mountain operates in dozens of countries, with a substantial presence in North America, Europe, Latin America and parts of Asia. In fiscal 2025, the United States and Canada represented around 60 percent of total revenue, with Europe accounting for about 20 percent and other regions making up the remaining 20 percent. This geographic spread provides some diversification against localized economic or regulatory shocks, though the company remains exposed to macro trends affecting corporate information management budgets.

The customer base includes large multinational corporations, mid size enterprises, financial institutions, healthcare systems and government agencies. Iron Mountain has disclosed that more than 95 percent of its revenue comes from business and institutional clients rather than consumers, emphasizing the business to business nature of its model. Long standing relationships and high renewal rates suggest that customers view its services as mission critical, which can support pricing power and contract stability.

Regulation, compliance and ESG considerations

Records storage and data center services intersect with regulatory and compliance requirements in areas such as privacy, data security, retention rules and environmental impact. Iron Mountain invests in procedures and certifications to meet standards set by regulators and industry bodies, and it highlights compliance as a differentiating factor in its marketing. Failure to adhere to these standards could pose operational and reputational risks, making compliance an ongoing focus for management.

From an environmental, social and governance perspective, the company is also working to reduce the carbon intensity of its operations. It has announced targets to increase the share of renewable energy used at its data centers and storage facilities, including solar and wind power arrangements. For example, Iron Mountain has indicated that over 80 percent of the electricity used by its data center operations comes from renewable sources, a figure it aims to push higher in coming years. For some investors, progress on these ESG indicators forms part of the broader investment case for Iron Mountain stock.

Peer context in data centers

In the data center space, Iron Mountain competes with a range of operators that include specialized colocation companies and diversified real estate investment trusts. Many of these peers also report strong demand from cloud and enterprise clients, as digital workloads expand and migration to outsourced infrastructure continues. Iron Mountains focus on security and compliance, alongside its legacy in physical records storage, gives it a slightly different positioning, but valuation metrics often draw comparison with other data center heavy names.

Investors sometimes look at the growth rate of data center revenue and the scale of expansion pipelines as key indicators of relative potential. Iron Mountains roughly 27 percent data center revenue growth in fiscal 2025, combined with an over 300 megawatt pipeline, puts it in a competitive position, though some pure play data center companies report even faster growth or larger development programs. The balance between data center expansion and leverage management will remain a central topic in future quarters.

Risks and sensitivity

Despite its recurring revenue base, Iron Mountain faces several risks that investors weigh when assessing Iron Mountain stock. Economic slowdowns could eventually prompt some customers to reduce storage volumes or delay digital transformation projects, which might temper growth. The pace of digital adoption also introduces uncertainty: while it creates demand for data centers and digital solutions, it can gradually reduce physical storage volumes over time, requiring the company to adapt its asset base.

Higher interest rates and tighter credit conditions can increase financing costs, particularly given Iron Mountains debt load of about $10.5 billion at the end of fiscal 2025. Regulatory changes in areas such as privacy, data sovereignty or waste disposal could impose additional compliance costs or restrict certain activities. Competition in both storage and data centers is active, and new entrants or capacity expansions by peers could exert pressure on pricing and margins. Investors therefore monitor the companys strategy, capital allocation and risk management closely.

Long term positioning of Iron Mountain stock

For long term holders, Iron Mountain stock offers a combination of income through its roughly $3.00 annual dividend per share and potential capital appreciation driven by data center growth and digital solutions expansion. The companys base of physical storage assets provides stability and cash flow, while investments in data centers and digital services seek to align the business with evolving information management needs. Achieving the right balance between defending legacy cash flows and pursuing growth opportunities will be key to value creation.

As of early 2026, the stock valuation at about 34 times fiscal 2025 earnings and approximately 11 times adjusted EBITDA implies that the market is already pricing in a portion of this growth trajectory. Future quarters will reveal whether revenue, EBITDA and free cash flow maintain their recent growth rates of around 8 to 12 percent. If data center utilization and pricing stay favorable, and if leverage remains manageable, Iron Mountain could continue to deliver the dividend growth and moderate share price appreciation that many of its investors seek.

Iron Mountain stock and recent performance

In summary, Iron Mountain combines a mature, cash generative records storage business with a faster growing data center segment. Fiscal 2025 revenue of roughly $5.5 billion, adjusted EBITDA of about $1.9 billion and net income near $600 million provide a foundation for dividends and further investment. Data center revenue growth of around 27 percent, an expansion in operational capacity to over 220 megawatts and a pipeline above 300 megawatts suggest that the company is actively positioning itself for digital era demand.

With Iron Mountain stock trading near $70 in early 2026, close to the top of its 52 week range between roughly $52 and $72, valuation reflects both the stability of its legacy operations and expectations for continued data center and digital solutions growth. Investors will continue to watch how revenue, margins, free cash flow, leverage and dividend policy evolve as the company navigates this transition, but the recent numbers demonstrate why Iron Mountain stock remains a notable name in the intersection of information management and data center infrastructure.

Iron Mountain company snapshot

• Company: Iron Mountain Inc.
• ISIN: US46284V1017
• Ticker: NYSE: IRM
• Trading venue: NYSE
• Price (as of 1 July 2026, 16:00 ET): 70.00 USD
• Market capitalization: 21.0 billion USD (as of 1 July 2026)
• Sector / Industry: Industrials / Commercial Services and Supplies, Data Center and Storage Services
• Index membership: S&P 500
• Next earnings date: 8 August 2026