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7. Iron Mountain Incorporated (NYSE:IRM)

Number of Hedge Fund Holders: 24

Iron Mountain Incorporated (NYSE:IRM) is a global leader in storage and information management services. The stock has been benefiting from the surge in AI as the demand for data centers accelerates with enterprise cloud and AI needs.

On Wednesday, November 6, Iron Mountain Incorporated (NYSE:IRM) reported its third-quarter results. The company noted a rise in its funds from operations (FFO) for the third quarter, driven by robust demand for its data centers. Adjusted funds from operations, an important cash flow indicator, increased by 11% to $1.13 per share for the quarter ending September 30, compared to the same period last year. This is certainly the highlight of its report in an otherwise cautious enterprise spending environment.

Even though enterprise spending is weak, companies such as Iron Mountain Incorporated (NYSE:IRM) continue to invest heavily in data centers, driven by the need to manage growing AI workloads and support cloud migration efforts. The company also reported a 12% growth in quarterly revenue to $1.557 billion, slightly surpassing the analyst estimate of $1.554 billion. However, net income fell to a negative $34 million, mainly due to unfavorable currency fluctuations and higher operational costs. Nevertheless, Iron Mountain has maintained confidence in its strategies and reaffirmed guidance that points toward a strong close to the financial year.