SIA Charts’ relative strength rankings help investors identify opportunities in stocks that are outperforming their peers or index benchmarks on a relative basis. Outperformance often reflects improving investor expectations for strong company or sector growth. The rankings not only help investors determine which stocks in a universe are outperforming or underperforming their peers but also indicate when relative performance trends are beginning to shift.
Today, we are examining Iron Mountain Inc. (IRM), which we’re highlighting in our commentaries for the first time. IRM recently entered the Favored Zone of the SIA S&P 500 Index Report on May 5th at a price of $97.17. The stock is exhibiting extremely strong relative strength, climbing 5 spots in the last week, 171 spots over the past month, and 205 spots over the last quarter: illustrating consistent upward money flow into the shares. The shares currently reside in the 57th spot out of 505 positions in the report and the shares closed at a price of $100.54 yesterday.
Looking at the attached candlestick chart of IRM, we can see a steady upward trend from summer 2020 through the end of 2023. A stronger uptrend then took hold, pushing the shares to a peak just shy of $130 in October 2024. Following that peak, the stock experienced a significant pullback, eventually finding a floor near the $75.00 level in early April of this year. In the past month and a half, the uptrend has reasserted itself, with six consecutive weekly candlesticks closing higher than the previous.
Resistance is now forming at the key psychological level of $100. Should the shares break above this round number, the next resistance level lies at $110, followed by the all-time high just under $130, reached in October 2024. On the downside, support can be found just below the $80.00 area.
In looking at the Point and Figure chart at a 2% scale for investment-grade analysis, we see the shares hit resistance at $127.10 in November of 2024. A downtrend materialized with a consistent pattern of lower highs and lower lows from that point until April of this year when the shares found a support level at the $77.47 level.
Now the shares are in a strong column of rising X’s lasting 13 boxes to date. Currently, resistance is staggered at $106.35 and $110.64 and finally the $124.60 to $127.10 area. To the downside, support is at its 3-box reversal of $92.58 and, below that, $80.60. The shares currently exhibit a bullish Double Top Pattern and with an SMAX score of 7 out of 10, the shares are exhibiting strong near-term strength against the asset classes.
Iron Mountain Inc is a record management services provider. The firm is organized as a REIT. Most of its revenue comes from its storage business, with the rest coming from value-added services. The firm primarily caters to enterprise clients in developed markets. Its business segments include Global RIM Business; Global Data Center Business; and Corporate and Other Business.
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