Iron Mountain may need more than REIT status

|About: Iron Mountain Inc. (IRM)|By:, SA News Editor

"Our proprietary survey highlighting a dramatic decline in paper storage intentions is concerning," write Jefferies' Dan Dolev and Trevor Young, warning about the long-term outlook for Iron Mountain (IRM -2%) even if it is allowed to convert to a REIT. "Data centers are a step in the right direction, but to ensure long-term viability, IRM needs a comprehensive plan to diversify away from storing paper."

"REIT status does not affect fundamentals," they say, but surely the stock would get a short-term respite from a doubling in the dividend. "Only the IRS knows if IRM would become a REIT."