Varonis Systems (NASDAQ:VRNS) Stock Rating Reaffirmed as Equal Weight by Barclays

Varonis Systems (NASDAQ:VRNS)‘s stock had its “equal weight” rating restated by analysts at Barclays in a report issued on Monday, Marketbeat reports. They presently have a $50.00 price objective on the technology company’s stock. Barclays’ target price would suggest a potential upside of 2.71% from the company’s previous close.

Several other equities research analysts also recently commented on the company. Needham & Company LLC downgraded Varonis Systems from a “buy” rating to a “hold” rating in a report on Friday, October 16th. Rosenblatt Securities cut Varonis Systems from a “buy” rating to a “hold” rating and dropped their price target for the stock from $55.00 to $49.75 in a research note on Friday, October 16th. Piper Sandler restated a “neutral” rating and set a $49.75 price objective (down from $58.00) on shares of Varonis Systems in a report on Friday, October 16th. Truist Financial downgraded Varonis Systems from a “strong-buy” rating to a “hold” rating in a report on Friday, October 16th. Finally, Stephens raised shares of Varonis Systems from an “equal weight” rating to an “overweight” rating and upped their price objective for the company from $33.00 to $45.00 in a research note on Wednesday, June 24th. Six investment analysts have rated the stock with a Buy rating, nineteen have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $50.89.

Varonis Systems Trading Down 0.0%

Shares of VRNS opened at $48.68 on Monday. The company has a quick ratio of 1.65, a current ratio of 1.65 and a debt-to-equity ratio of 1.02. The firm’s 50 day moving average is $46.07 and its 200-day moving average is $38.46. Varonis Systems has a 12-month low of $19.70 and a 12-month high of $63.80.

Varonis Systems (NASDAQ:VRNS) last released its earnings results on Tuesday, July 28th. The technology company reported $0.04 EPS for the quarter, beating the consensus estimate of $0.01 by $0.03. The business had revenue of $180.02 million during the quarter, compared to analyst estimates of $176.83 million. Varonis Systems had a negative net margin of 20.55% and a negative return on equity of 19.18%. The business’s quarterly revenue was up 18.3% on a year-over-year basis. During the same period in the prior year, the business earned $0.03 earnings per share. Varonis Systems has set its FY 2026 guidance at 0.140-0.150 EPS and its Q3 2026 guidance at 0.020-0.030 EPS. On average, sell-side analysts anticipate that Varonis Systems will post -0.95 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Pictet Asset Management Holding SA lifted its stake in shares of Varonis Systems by 43.4% in the first quarter. Pictet Asset Management Holding SA now owns 3,123,056 shares of the technology company’s stock worth $67,029,000 after buying an additional 944,676 shares during the last quarter. American Capital Management Inc. boosted its stake in Varonis Systems by 54.3% during the 1st quarter. American Capital Management Inc. now owns 2,328,379 shares of the technology company’s stock valued at $49,990,000 after purchasing an additional 819,340 shares during the period. Stephens Investment Management Group LLC boosted its stake in Varonis Systems by 17.9% during the 1st quarter. Stephens Investment Management Group LLC now owns 1,992,760 shares of the technology company’s stock valued at $42,785,000 after purchasing an additional 302,411 shares during the period. Clal Insurance Enterprises Holdings Ltd acquired a new stake in Varonis Systems in the 2nd quarter valued at approximately $61,262,000. Finally, Senvest Management LLC increased its position in Varonis Systems by 406.1% in the 1st quarter. Senvest Management LLC now owns 1,448,943 shares of the technology company’s stock worth $31,109,000 after buying an additional 1,162,651 shares during the period. Hedge funds and other institutional investors own 95.65% of the company’s stock.

Varonis Systems News Roundup

Here are the key news stories impacting Varonis Systems this week:

• Positive Sentiment: Proofpoint’s proposed acquisition represents a substantial premium and validates demand for Varonis’ data-security business. The all-cash transaction is the key reason shares have moved close to the $49.75 offer price. Proofpoint to acquire Varonis in a $6.3 billion transaction
• Positive Sentiment: Barclays reaffirmed its $50 price target, modestly above the cash offer, suggesting limited additional upside if the deal closes as expected. The reaffirmed Equal Weight rating reflects the stock’s merger-arbitrage profile rather than a strong standalone bullish view. Barclays reaffirms $50 target for Varonis Systems
• Neutral Sentiment: Varonis announced an integration with Collibra that will bring continuously synchronized sensitivity labels into Collibra’s AI governance platform. The partnership strengthens Varonis’ positioning in secure enterprise AI adoption, although its impact is likely secondary to the pending acquisition. Varonis and Collibra: Automating Data Governance for AI
• Negative Sentiment: Shareholder law firm Kahn Swick & Foti is investigating whether the $49.75 consideration and sale process are adequate. Such reviews can create deal uncertainty, even though no wrongdoing has been established. Varonis Systems Investor Alert
• Negative Sentiment: Truist and Barclays both moved their ratings to Hold, signaling reduced enthusiasm for Varonis as an independent company and emphasizing the limited upside beyond the acquisition price. Varonis cut to Hold at Truist Financial

Varonis Systems Company Profile

Varonis Systems, Inc develops data security software that helps organizations protect sensitive information, identify security risks and manage access to data. Its platform is designed to secure data stored across on-premises file systems, cloud environments, software-as-a-service applications and other enterprise repositories.

The company’s products support data discovery and classification, access analysis, threat detection, insider-risk monitoring, data loss prevention and security automation.