UPDATE: Stifel Upgrades Iron Mountain (IRM) to Buy

(Updated - April 18, 2016 8:35 AM EDT)

Stifel upgraded Iron Mountain (NYSE: IRM) from Hold to Buy with a price target of $39. Analyst Shlomo H. Rosenbaum sees upside to consensus numbers.

"We believe the consensus numbers are not appropriately factoring the potential upside to AFFO and dividends due to both the Recall acquisition and the Transformation plan for the legacy business. We are raising our rating from Hold to Buy, and we expect the stock to trade up to the $38-$40 range when estimates begin to accurately reflect the picture of what the combined IRM-Recall business will look like," said Rosenbaum.

"Our target price assumes the current dividend yield and price/AFFO multiples carry forward to 2017, but that the estimates will be increasing. While the additional level of divestitures required by regulators makes the 5-year plan tougher to achieve, the bulk of the targets from the 2016-2018 portion of the plan are from integration synergies and from the Transformation plan which are largely in management’s hands (cost cutting and driving efficiencies through IT integration and the like)," added the analyst.

For an analyst ratings summary and ratings history on Iron Mountain click here. For more ratings news on Iron Mountain click here.

Shares of Iron Mountain closed at $33.57 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Keefe, Bruyette & Woods Upgrades Trustmark (TRMK) to Outperform
• Amazon.com (AMZN) PT Raised to $215 at UBS
• JPMorgan Upgrades Unilever Indonesia Tbk (UNVR:IJ) (UNLRF) to Neutral