Iron Mountain Inc. (IRM): Data centers powering the next phase of IRM's growth

IRM's expanding data center platform is accelerating its transformation into a faster-growing information management and digital infrastructure company. Data centers, ALM and digital solutions increased from 15% of revenue in 2021 to 34% in 2026E, with data centers nearly doubling their contribution from 7% to 13% and benefiting from durable AI and cloud infrastructure demand. Our deep dive finds that IRM has built a scaled global platform with 529 MW of operational capacity, 160 MW under construction and 684 MW held for development, representing nearly 1.4 GW of total capacity potential. Leasing regained momentum in 2026, pricing remains favorable and 71% of capacity under construction is pre-leased, providing substantial visibility as IRM targets ~325 MW of energizations over the next 18-24 months. We raise our 2026-2028 data center revenue estimates by 2%, 13% and 12%, increasing our 2027E and 2028E AFFO per share estimates by 3% and 4%, respectively. IRM trades at 17.1x 2027E P/AFF