Summary
- The market’s short-term obsession with quarterly results, rather than the long-term picture, generally makes for some of the best opportunistic buying opportunities of the year.
- Let’s take a look at why Iron Mountain’s fat 7.4% yield is likely safe and, potentially, one of the best deep value opportunities you can add to your portfolio.
- We believe double-digit total returns are likely for IRM over the next five years, even assuming Wall Street never values this REIT at a reasonable multiple.
- This idea was discussed in more depth with members of my private investing community, Rhino Real Estate Advisors. Start your free trial today »
Co-produced by Dividend Sensei.
There’s nothing better when earnings season serves up great high-yield REITs trading at rock-bottom prices. The market’s short-term obsession with quarterly results, rather than the long-term picture, generally makes for some of the best opportunistic buying opportunities of the year.
That’s what’s currently happening with Iron Mountain (IRM), one of my favorite high-yield REITs that missed on earnings (and fell as much as 9% as a result) while reiterating 2019 guidance and its long-term growth plan.
Let’s take a look at why Iron Mountain’s fat 7.4% yield is likely safe and potentially one of the best deep value opportunities you can add to your portfolio. That’s because, at today’s deeply discounted price, this hybrid storage/data center/industrial REIT is likely to deliver 14% to 16% annualized total returns over the coming five years.
