Varonis Systems (NASDAQ:VRNS) Releases Earnings Results, Beats Estimates By $0.06 EPS

Varonis Systems (NASDAQ:VRNS) posted its earnings results on Tuesday. The technology company reported $0.09 EPS for the quarter, beating the consensus estimate of $0.03 by $0.06, FiscalAI reports. Varonis Systems had a negative return on equity of 21.47% and a negative net margin of 21.38%. The firm had revenue of $189.46 million for the quarter, compared to analyst estimates of $186.74 million. During the same quarter in the prior year, the company posted $0.06 earnings per share. Varonis Systems’s revenue for the quarter was up 17.3% compared to the same quarter last year.

Varonis Systems Stock Performance

NASDAQ:VRNS opened at $48.80 on Thursday. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.65 and a quick ratio of 1.65. The stock’s 50 day simple moving average is $47.38 and its 200-day simple moving average is $35.78. Varonis Systems has a 12-month low of $19.70 and a 12-month high of $50.31.

Wall Street Analyst Weigh In

A number of research firms have recently commented on VRNS. Piper Sandler downgraded Varonis Systems from an “overweight” rating to a “neutral” rating and dropped their price objective for the company from $58.00 to $49.75 in a report on Friday, October 16th. Weiss Ratings upgraded Varonis Systems from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Friday, October 23rd. DA Davidson downgraded Varonis Systems from a “buy” rating to a “neutral” rating and lowered their price target for the company from $55.00 to $49.75 in a report on Friday, October 16th. Yorkville Ives assumed coverage on shares of Varonis Systems in a research note on Monday, October 5th. They issued an “in-line” rating and a $50.00 price target on the stock. Finally, Truist Financial cut shares of Varonis Systems from a “strong-buy” rating to a “hold” rating in a report on Friday, October 16th. Five equities research analysts have rated the stock with a Buy rating, twenty-one have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $50.64.

Trending Headlines about Varonis Systems

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

• Positive Sentiment: Third-quarter adjusted earnings were $0.09 per share, ahead of the $0.03 consensus and up from $0.06 a year earlier. Revenue rose 17.3% year over year to $189.5 million, also topping estimates of about $186.7 million. Varonis Q3 results
• Neutral Sentiment: Cantor Fitzgerald lowered its price target from $55 to $49.75 but maintained an “overweight” rating. The new target implies just 1.9% upside from the cited $48.80 share price, suggesting the analyst sees limited near-term appreciation despite the positive rating. Cantor Fitzgerald rating information
• Negative Sentiment: Valuation may be a concern: the shares were near their 52-week high, while Varonis continues to report a negative net margin. The results beat expectations, but investors may question how much further upside remains.

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.