Is Iron Mountain Incorporated (NYSE: IRM) popular among institutions?
A look at the shareholders of Iron Mountain Incorporated (NYSE: IRM) can tell us which group is more powerful. Insiders often own a large portion of younger and smaller companies, while larger companies tend to have institutions as shareholders. We also tend to see a decrease in insider ownership in companies that were previously owned by the state.
Iron Mountain is a pretty big company. It has a market capitalization of 13 billion US dollars. Normally, institutions would own a significant share of a company of this size. Looking at our data on ownership groups (below), it appears that institutions are visible on the share register. Let’s take a closer look at what different types of shareholders can tell us about Iron Mountain.
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What does institutional ownership tell us on Iron Mountain?
Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it’s included in a major index. . We would expect most businesses to have some institutions listed, especially if they are growing.
Iron Mountain already has institutions listed in the share register. Indeed, they hold a respectable stake in the company. This suggests some credibility among professional investors. But we cannot rely on this fact alone because institutions sometimes make bad investments, like everyone else. If several institutions change their mind about a stock at the same time, you could see the stock price drop quickly. So it’s worth checking out Iron Mountain’s earnings history below. Of course, the future is what really matters.
Since institutional investors own more than half of the issued shares, the board will likely need to pay attention to their preferences. We note that the hedge funds do not have a significant investment in Iron Mountain. Looking at our data, we can see that the largest shareholder is The Vanguard Group, Inc. with 17% of the shares outstanding. For context, the second largest shareholder owns around 11% of the outstanding shares, followed by an 8.0% stake by the third largest shareholder.
Looking at the register of shareholders, we can see that 51% of the property is controlled by the top 11 shareholders, which means that no shareholder has a controlling interest in the property.
Institutional ownership research is a good way to assess and filter the expected performance of a stock. The same can be achieved by studying the feelings of analysts. Many analysts cover the stock, so it can be interesting to see what they are forecasting as well.
Iron Mountain Insider Property
The definition of an insider may differ slightly from country to country, but board members still count. The management of the company manages the company, but the CEO will report to the board of directors, even if he is a member of the board.
Most view insider ownership as a positive, as it can indicate that the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.
We can see that the insiders own shares in Iron Mountain Incorporated. Insiders own $ 139 million in shares (at current prices). Most would say it shows a good alignment of interests between shareholders and the board. Still, it might be worth checking out if these insiders have sold.
General public property
With 19% ownership, the general public has some influence on Iron Mountain. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in line with other large shareholders.
While it is worth considering the different groups that own a business, there are other factors that are even more important. Concrete example: we have spotted 4 warning signs for Iron Mountain you need to be aware of it, and one of them is a bit of a concern.
If you’d rather find out what analysts are predicting in terms of future growth, don’t miss this free analyst forecast report.
NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative material. Simply Wall St has no position in the mentioned stocks.
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