Varonis Systems (NASDAQ:VRNS) Issues Quarterly Earnings Results

Varonis Systems (NASDAQ:VRNS) issued its quarterly earnings results on Tuesday. The technology company reported $0.08 earnings per share for the quarter, topping analysts’ consensus estimates of $0.03 by $0.05, FiscalAI reports. Varonis Systems had a negative return on equity of 21.91% and a negative net margin of 18.82%.The business had revenue of $173.37 million for the quarter, compared to analyst estimates of $168.66 million.

Varonis Systems Stock Performance

Varonis Systems stock traded down $2.72 during mid-day trading on Tuesday, hitting $26.53. The company had a trading volume of 10,348,660 shares, compared to its average volume of 2,719,737. The company has a market capitalization of $3.13 billion, a price-to-earnings ratio of -26.01 and a beta of 0.58. Varonis Systems has a 12-month low of $25.03 and a 12-month high of $63.90. The company’s fifty day moving average is $33.11 and its 200-day moving average is $45.94. The company has a current ratio of 1.81, a quick ratio of 1.81 and a debt-to-equity ratio of 0.75.

Analysts Set New Price Targets

A number of research analysts have issued reports on VRNS shares. Citigroup cut their price target on shares of Varonis Systems from $58.00 to $40.00 and set a “neutral” rating on the stock in a research note on Monday, November 3rd. Piper Sandler raised Varonis Systems from a “neutral” rating to an “overweight” rating and upped their target price for the company from $45.00 to $47.00 in a research report on Monday, January 5th. Barclays lowered their price target on Varonis Systems from $50.00 to $45.00 and set an “overweight” rating for the company in a research report on Monday, January 5th. TD Cowen raised their price objective on Varonis Systems from $62.00 to $68.00 and gave the stock a “buy” rating in a research note on Friday, October 17th. Finally, Truist Financial reaffirmed a “buy” rating and set a $50.00 target price (down previously from $70.00) on shares of Varonis Systems in a report on Wednesday, October 29th. Fifteen investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Varonis Systems presently has a consensus rating of “Moderate Buy” and a consensus price target of $53.50.

More Varonis Systems News

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

• Positive Sentiment: Strong Q4 / full‑year results: Varonis reported growth in ARR (annual recurring revenue) and SaaS metrics, with SaaS ARR (ex‑conversions) up ~32% y/y and SaaS representing ~86% of total ARR; year‑to‑date cash from operations and free cash flow increased versus prior year — a constructive operating performance for a SaaS transition. Varonis Announces Fourth Quarter 2025 and Full-Year 2025 Financial Results
• Positive Sentiment: Strategic acquisition: Varonis announced it will acquire AllTrue.ai to add AI TRiSM (AI trust, risk & security management) capabilities — this complements Varonis’ data/access security stack and may bolster long‑term product differentiation in enterprise AI security. Varonis to Acquire AllTrue.ai to Manage and Secure AI Across the Enterprise
• Neutral Sentiment: Mixed profitability picture: the company beat Q4 estimates (reported EPS $0.08 vs. $0.03 est.; revenue $173.4M vs. $168.7M est.) but remains unprofitable on a trailing basis and analysts expect negative full‑year EPS — a cause for cautious positioning until trends sustain. Varonis Systems (VRNS) Dipped Despite Reporting Strong Earnings
• Negative Sentiment: Significant litigation headline risk: multiple law firms have filed or issued shareholder alerts and are soliciting lead‑plaintiff motions in a securities class action (class period Feb 4, 2025–Oct 28, 2025), alleging the company misled investors about its SaaS transition — numerous notices and the looming March 9 lead‑plaintiff deadline likely accelerated selling and volatility. Representative filings/alerts: Bragar Eagel & Squire; Rosen Law Firm; Hagens Berman; Pomerantz; Berger Montague; Schall Law Firm, among others. Bragar Eagel & Squire Reminder Rosen Law Firm Alert Hagens Berman Alert

Institutional Investors Weigh In On Varonis Systems

A number of institutional investors have recently modified their holdings of VRNS. Caption Management LLC grew its stake in Varonis Systems by 130.4% in the 3rd quarter. Caption Management LLC now owns 5,750 shares of the technology company’s stock valued at $330,000 after acquiring an additional 24,650 shares during the period. Merit Financial Group LLC raised its position in Varonis Systems by 14.7% during the third quarter. Merit Financial Group LLC now owns 5,679 shares of the technology company’s stock worth $326,000 after acquiring an additional 728 shares during the period. Osaic Holdings Inc. lifted its holdings in Varonis Systems by 10.5% during the second quarter. Osaic Holdings Inc. now owns 4,647 shares of the technology company’s stock valued at $234,000 after purchasing an additional 440 shares in the last quarter. Benjamin Edwards Inc. grew its position in shares of Varonis Systems by 5.5% in the second quarter. Benjamin Edwards Inc. now owns 6,692 shares of the technology company’s stock valued at $340,000 after purchasing an additional 351 shares during the period. Finally, Main Street Financial Solutions LLC acquired a new stake in shares of Varonis Systems in the second quarter valued at about $228,000. 95.65% of the stock is currently owned by institutional investors and hedge funds.

Varonis Systems Company Profile

Varonis Systems is a cybersecurity firm specializing in the protection and management of unstructured data. The company’s flagship Data Security Platform provides advanced analytics for monitoring file systems, email servers, collaboration platforms and cloud storage. By continuously mapping and analyzing data permissions and user behavior, Varonis enables organizations to detect insider threats, verify compliance and remediate exposed data in real time.

Founded in 2005 and headquartered in New York City, Varonis serves a diverse global customer base across financial services, healthcare, media, manufacturing and government.