Iron Mountain Return On Equity vs. Current Valuation
| IRM Stock | USD 80.69 1.05 1.32% |
For Iron Mountain profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Iron Mountain to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Iron Mountain Incorporated utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Iron Mountain's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Iron Mountain Incorporated over time as well as its relative position and ranking within its peers.
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Is Trading space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Iron Mountain. If investors know Iron will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Iron Mountain listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Iron Mountain is measured differently than its book value, which is the value of Iron that is recorded on the company's balance sheet. Investors also form their own opinion of Iron Mountain's value that differs from its market value or its book value, called intrinsic value, which is Iron Mountain's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Iron Mountain's market value can be influenced by many factors that don't directly affect Iron Mountain's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Iron Mountain's value and its price as these two are different measures arrived at by different means. Investors typically determine if Iron Mountain is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Iron Mountain's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Iron Mountain Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Iron Mountain's current stock value. Our valuation model uses many indicators to compare Iron Mountain value to that of its competitors to determine the firm's financial worth. Iron Mountain Incorporated is currently regarded as number one stock in return on equity category among its peers. It is rated fifth overall in current valuation category among its peers reporting about 82,699,718,607 of Current Valuation per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Iron Mountain by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Iron Mountain's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Iron Current Valuation vs. Return On Equity
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
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| = | 0.47 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
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| = | 39.17 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Iron Current Valuation vs Competition
Iron Mountain Incorporated is rated fifth overall in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Real Estate industry is currently estimated at about 472.5 Billion. Iron Mountain holds roughly 39.17 Billion in current valuation claiming about 8% of equities listed under Real Estate industry.
Iron Mountain Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Iron Mountain, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Iron Mountain will eventually generate negative long term returns. The profitability progress is the general direction of Iron Mountain's change in net profit over the period of time. It can combine multiple indicators of Iron Mountain, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Iron Mountain Incorporated , founded in 1951, is the global leader for storage and information management services. Providing solutions that include secure records storage, information management, digital transformation, secure destruction, as well as data centers, cloud services and art storage and logistics, Iron Mountain helps customers lower cost and risk, comply with regulations, recover from disaster, and enable a more digital way of working. Iron Mountain operates under REITSpecialty classification in the United States and is traded on New York Stock Exchange. It employs 25000 people.
Iron Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Iron Mountain. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Iron Mountain position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Iron Mountain's important profitability drivers and their relationship over time.
Use Iron Mountain in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Iron Mountain position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Iron Mountain will appreciate offsetting losses from the drop in the long position's value.Iron Mountain Pair Trading
Iron Mountain Incorporated Pair Trading Analysis
The ability to find closely correlated positions to Iron Mountain could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Iron Mountain when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Iron Mountain - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Iron Mountain Incorporated to buy it.
The correlation of Iron Mountain is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Iron Mountain moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Iron Mountain moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Iron Mountain can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Iron Mountain position
In addition to having Iron Mountain in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Small & Mid Caps ETFs Thematic Idea Now
Small & Mid Caps ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Small & Mid Caps ETFs theme has 12 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Small & Mid Caps ETFs Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Iron Stock
When determining whether Iron Mountain is a strong investment it is important to analyze Iron Mountain's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Iron Mountain's future performance. For an informed investment choice regarding Iron Stock, refer to the following important reports:Check out Risk vs Return Analysis. You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
To fully project Iron Mountain's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Iron Mountain at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Iron Mountain's income statement, its balance sheet, and the statement of cash flows.