Varonis Systems (NASDAQ:VRNS) Price Target Lowered to $38.00 at JPMorgan Chase & Co.

Varonis Systems (NASDAQ:VRNS) had its price target reduced by investment analysts at JPMorgan Chase & Co. from $50.00 to $38.00 in a report issued on Wednesday,Benzinga reports. The brokerage currently has an “overweight” rating on the technology company’s stock. JPMorgan Chase & Co.‘s price objective indicates a potential upside of 56.91% from the company’s current price.

A number of other research analysts have also weighed in on the stock. Morgan Stanley reissued an “equal weight” rating and set a $41.00 price target (down from $44.00) on shares of Varonis Systems in a research report on Monday, January 26th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Varonis Systems in a report on Wednesday, January 21st. Truist Financial cut their price target on shares of Varonis Systems from $42.00 to $34.00 and set a “buy” rating on the stock in a report on Wednesday. Wedbush dropped their target price on shares of Varonis Systems from $53.00 to $35.00 and set an “outperform” rating on the stock in a research note on Wednesday. Finally, Susquehanna decreased their price target on shares of Varonis Systems from $65.00 to $50.00 and set a “positive” rating for the company in a research note on Wednesday, October 29th. Fifteen 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’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $45.75.

Varonis Systems Trading Down 8.7%

NASDAQ:VRNS traded down $2.31 during trading hours on Wednesday, hitting $24.22. The stock had a trading volume of 8,803,289 shares, compared to its average volume of 2,950,942. The company has a debt-to-equity ratio of 0.75, a quick ratio of 1.81 and a current ratio of 1.81. The company has a market cap of $2.86 billion, a price-to-earnings ratio of -23.66 and a beta of 0.58. The business’s 50 day moving average is $32.99 and its 200-day moving average is $45.77. Varonis Systems has a one year low of $20.06 and a one year high of $63.90.

Varonis Systems (NASDAQ:VRNS) last released its quarterly earnings results on Tuesday, February 3rd. The technology company reported $0.08 EPS for the quarter, beating the consensus estimate of $0.03 by $0.05. The business had revenue of $173.37 million for the quarter, compared to the consensus estimate of $168.66 million. Varonis Systems had a negative net margin of 18.82% and a negative return on equity of 21.91%. Varonis Systems’s revenue was up 9.4% compared to the same quarter last year. During the same period in the prior year, the company posted $0.18 earnings per share. Varonis Systems has set its FY 2026 guidance at 0.060-0.100 EPS and its Q1 2026 guidance at -0.060–0.050 EPS. Sell-side analysts anticipate that Varonis Systems will post -0.83 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Norges Bank bought a new stake in Varonis Systems during the second quarter valued at $65,161,000. Pictet Asset Management Holding SA boosted its position in shares of Varonis Systems by 99.1% during the 4th quarter. Pictet Asset Management Holding SA now owns 2,178,380 shares of the technology company’s stock valued at $71,480,000 after acquiring an additional 1,084,267 shares during the last quarter. Clal Insurance Enterprises Holdings Ltd grew its holdings in shares of Varonis Systems by 166.7% during the third quarter. Clal Insurance Enterprises Holdings Ltd now owns 1,360,000 shares of the technology company’s stock worth $78,159,000 after purchasing an additional 850,000 shares in the last quarter. Vanguard Group Inc. increased its position in shares of Varonis Systems by 6.5% in the fourth quarter. Vanguard Group Inc. now owns 13,418,273 shares of the technology company’s stock worth $440,119,000 after purchasing an additional 822,925 shares during the last quarter. Finally, Allspring Global Investments Holdings LLC lifted its position in Varonis Systems by 319.8% during the second quarter. Allspring Global Investments Holdings LLC now owns 971,544 shares of the technology company’s stock valued at $48,606,000 after purchasing an additional 740,114 shares during the last quarter. 95.65% of the stock is owned by institutional investors.

Varonis Systems News Summary

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

• Positive Sentiment: Q4 results beat consensus and showed SaaS momentum — Varonis reported EPS of $0.08 (vs. $0.03 estimate) and revenue of $173.4M, driven by ARR growth and cloud/AI adoption. This supports the narrative of accelerating SaaS conversion and recurring revenue strength. Varonis Q4 Earnings Surpass Estimates, Revenues Increase Y/Y
• Positive Sentiment: Upbeat FY‑2026 guidance — management gave FY‑2026 EPS guidance of $0.06–$0.10 and revenue guidance above Street estimates, implying the company expects SaaS-driven margin/leverage to improve next year. That guidance contrasts with prior expectations and is a near‑term growth catalyst. Varonis Press Release / Guidance
• Positive Sentiment: Acquisition to add AI TRiSM capability — Varonis agreed to buy AllTrue.ai (reported valuation ~$150M), expanding its AI governance/security footprint and complementing data+identity strengths; strategic for enterprise AI security adoption. Varonis Acquisition of AllTrue.ai Valued at $150 Million
• Neutral Sentiment: Analysts cut price targets but kept buy/outperform stances — Several firms (Wedbush, B. Riley, Needham, Truist) lowered targets substantially while retaining positive ratings, a mixed signal: they continue to see upside over time but now price in more near‑term risk/uncertainty. Benzinga (analyst target coverage) TickerReport (B. Riley)
• Neutral Sentiment: Full earnings / call disclosure available — Investors can review the transcript and slide deck for management commentary on conversion cadence, margin trajectory and AI product roadmap to judge sustainability of the beat. Q4 2025 Earnings Call Transcript
• Negative Sentiment: Unusual bearish options activity — Traders bought ~4,051 put contracts today (≈+206% vs. average), signaling short‑term downside hedging/speculation that can amplify selling pressure.
• Negative Sentiment: Renewed securities‑litigation reminders — Multiple law firms have publicized class‑action deadlines and filings alleging misstatements around the SaaS transition; ongoing legal risk increases uncertainty and can weigh on the stock until resolved. Bragar Eagel & Squire reminder
• Negative Sentiment: Margin pressure and transition risk noted — Deep‑dive coverage flags that SaaS conversion is boosting growth but compressing near‑term margins, a dynamic that can justify mixed investor reactions despite revenue upside. Q4 deep dive: SaaS transition drives growth, margin pressures remain

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.