PORTSMOUTH, N.H., May 8, 2026, 07:54 (EDT)
- Iron Mountain dropped 3.98% Thursday, putting an end to its six-day run of gains.
- Cohen & Steers has updated its ownership disclosure to reflect a 4.89% holding in Iron Mountain.
- Last week’s upgraded 2026 outlook—thanks to gains in data center, digital, and asset lifecycle segments—has given way to a pullback.
Iron Mountain Incorporated shares slipped almost 4% Thursday, snapping a six-day rally and retreating from the 52-week high notched just the day before. The stock settled at $126.81—down 5.43% from its May 6 peak of $134.09—as investors took a fresh look at one of this year’s standout AI-driven real estate plays.
This shift is significant: Iron Mountain isn’t just seen as a records-storage landlord anymore. Its heavy investment in data centers has landed it among digital-infrastructure players, a group where AI-driven demand has already pushed up both growth forecasts and valuations. Last week, Reuters said the company boosted its annual outlook, pointing to increased reliance on its data centers for AI computing.
On May 7, another data point landed: Cohen & Steers, Inc. disclosed it holds 14,555,629 Iron Mountain shares—representing 4.89% of the company—in an amended Schedule 13G. The Schedule 13G/A, meant for passive investors with sizable stakes, made clear this position was held as part of regular investing activity, not to seek control.
The filing stops short of saying Cohen & Steers unloaded shares on Thursday. It notes April 30 as the event date, with a signature from May 7—a detail that complicates efforts to match regulatory filings with specific daily trades.
Iron Mountain’s rally this time is grounded in the numbers. The company reported on April 30 that first-quarter revenue jumped 21.6% to $1.94 billion. Net income climbed sharply as well, up to $149 million from $16 million a year earlier. Adjusted EBITDA landed at $708 million, a 22.1% increase. That figure—earnings before interest, taxes, depreciation and amortization, plus company-specific tweaks—offers another look at performance.
The company raised its 2026 guidance, now projecting full-year revenue between $7.825 billion and $7.925 billion. Adjusted EBITDA comes in at $2.925 billion to $2.965 billion. For adjusted funds from operations (AFFO), the target is $5.79 to $5.86 per share—a metric real estate investment trust watchers keep a close eye on.
Iron Mountain CEO William L. Meaney said the company is “off to a strong start to the year in data center leasing,” tallying “32 megawatts through April.” Meaney added that 400 megawatts of capacity should be energized and ready within the next 24 months. Iron Mountain Investor Relations
The company’s March-quarter numbers spell out the story. Global Data Center Business revenue jumped to $254.7 million, up from $173.2 million last year. As for the bigger Global RIM division, records and information management brought in $1.40 billion. What’s left falls under asset lifecycle management, or ALM, which deals with tech assets once they’re out of service.
Chief Financial Officer Barry Hytinen flagged both pricing and demand on the earnings call. “We’re pleased with the mix as well as the pricing,” Hytinen said, discussing data center lease activity with analysts. Investing.com
Competitors diverged: Iron Mountain slid 3.98%, a sharper loss than Prologis, which edged down 0.43%, or Digital Realty Trust, off by 2.45% Thursday. IBM bucked the trend, gaining 2.47%. For the broader benchmarks, the S&P 500 closed down 0.38%, with the Dow off 0.63%.
The risk scenario is clear enough: building out data centers demands capital, electricity, and solid execution. In its latest quarterly filing, Iron Mountain flagged risks tied to funding capex, raising debt or equity, keeping debt costs in check, delivering on its growth strategy, and dealing with power costs or service disruptions in its data center business.
Iron Mountain’s outlays are hefty. The company reported $518 million spent on capital expenditures in the first quarter, with a projected total of around $2.2 billion for capital expenditures in 2026—largely aimed at growth. That puts a spotlight on the timing of projects and the pace of financing.
The dividend is still in the mix for shareholders. Iron Mountain set its quarterly payout at 86.4 cents per share, with the cash set to go out July 3 to investors on record as of June 15.
The challenge now for Iron Mountain is to convert its data center and ALM momentum into reliable cash flow, all while keeping expansion costs from biting too deeply into gains. Thursday’s pullback didn’t disrupt the broader post-earnings trend, but it signaled the stock is priced with less room for error.
