Should You Buy Iron Mountain Incorporated (IRM)?

We already know that not all hedge funds are bullish on the stock and some hedge funds actually dropped their positions entirely. Intriguingly, Ken Griffin’s Citadel Investment Group dropped the largest stake of all the investors tracked by Insider Monkey, valued at about $1.2 million in call options. Glenn Russell Dubin’s fund, Highbridge Capital Management, also said goodbye to its stock, about $0.6 million worth of Iron Mountain Incorporated (NYSE:IRM) shares.

Let’s now review hedge fund activity in other stocks similar to Iron Mountain Incorporated (NYSE:IRM). We will take a look at CNH Industrial NV (NYSE:CNHI), Arch Capital Group Ltd. (NASDAQ:ACGL), The WhiteWave Foods Co (NYSE:WWAV), and Celanese Corporation (NYSE:CE). All of these stocks’ market caps match IRM’s market cap.

As you can see these stocks had an average of 26 hedge funds with bullish positions and the average amount invested in these stocks was $963 million. That figure was $103 million in IRM’s case. The WhiteWave Foods Co (NYSE:WWAV) is the most popular stock in this table. On the other hand CNH Industrial NV (NYSE:CNHI) is the least popular one with only 15 bullish hedge fund positions. Iron Mountain Incorporated (NYSE:IRM) is not the least popular stock in this group but hedge fund interest is still below average. This is a slightly negative signal and we’d rather spend our time researching stocks that hedge funds are piling on. In this regard WWAV might be a better candidate to consider taking a long position in.

Disclosure: none.