Varonis Systems (NASDAQ:VRNS) Stock Price Expected to Rise, Needham & Company LLC Analyst Says

Key Points

• Needham raised Varonis Systems’ price target to $55 from $50 and maintained a “buy” rating, implying approximately 21% upside from the previous close.
• Analyst sentiment is broadly positive: 17 analysts rate the stock a Buy, six rate it Hold, and one rates it Sell, producing a consensus “Moderate Buy” rating and average target of $49.32.
• Varonis recently beat quarterly earnings and revenue expectations, with revenue up 18.3% year over year, while institutional investors own approximately 95.65% of the company’s shares.

Varonis Systems (NASDAQ:VRNS - Get Free Report) had its price target raised by equities research analysts at Needham & Company LLC from $50.00 to $55.00 in a note issued to investors on Wednesday, Benzinga reports. The firm presently has a "buy" rating on the technology company's stock. Needham & Company LLC's target price suggests a potential upside of 20.99% from the company's previous close.

A number of other brokerages have also weighed in on VRNS. Stephens upgraded shares of Varonis Systems from an "equal weight" rating to an "overweight" rating and raised their target price for the company from $33.00 to $45.00 in a research report on Wednesday, June 24th. Barclays dropped their price target on Varonis Systems from $52.00 to $50.00 and set an "overweight" rating for the company in a research note on Wednesday, July 29th. Citigroup boosted their price objective on Varonis Systems from $30.00 to $45.00 and gave the stock a "neutral" rating in a research report on Thursday, July 30th. Susquehanna upped their target price on Varonis Systems from $36.00 to $55.00 and gave the stock a "positive" rating in a report on Wednesday, July 29th. Finally, UBS Group increased their target price on Varonis Systems from $37.00 to $58.00 and gave the company a "buy" rating in a research report on Tuesday, July 21st. Seventeen research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, Varonis Systems presently has a consensus rating of "Moderate Buy" and an average target price of $49.32.

Varonis Systems Price Performance

Varonis Systems stock opened at $45.46 on Wednesday. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.65 and a current ratio of 1.65. Varonis Systems has a 52 week low of $19.70 and a 52 week high of $63.90. The stock has a market capitalization of $5.22 billion, a P/E ratio of -36.96 and a beta of 0.82. The stock has a fifty day moving average of $44.05 and a 200-day moving average of $33.29.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last released its earnings results on Tuesday, July 28th. The technology company reported $0.04 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.01 by $0.03. The firm had revenue of $180.02 million for the quarter, compared to analysts' expectations of $176.83 million. Varonis Systems had a negative return on equity of 19.18% and a negative net margin of 20.55%.The business's revenue for the quarter was up 18.3% on a year-over-year basis. During the same quarter in the previous year, the business posted $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 expect that Varonis Systems will post -0.97 earnings per share for the current fiscal year.

Institutional Trading of Varonis Systems

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC lifted its stake in shares of Varonis Systems by 161.0% in the first quarter. EverSource Wealth Advisors LLC now owns 1,360 shares of the technology company's stock worth $29,000 after acquiring an additional 839 shares during the period. Empowered Funds LLC acquired a new stake in Varonis Systems during the 4th quarter valued at approximately $37,000. Fifth Third Bancorp raised its holdings in Varonis Systems by 10,694.1% during the 1st quarter. Fifth Third Bancorp now owns 1,835 shares of the technology company's stock worth $39,000 after purchasing an additional 1,818 shares during the last quarter. Essential Partners LLC raised its holdings in Varonis Systems by 72.5% during the 1st quarter. Essential Partners LLC now owns 2,054 shares of the technology company's stock worth $44,000 after purchasing an additional 863 shares during the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in shares of Varonis Systems in the 2nd quarter worth approximately $55,000. 95.65% of the stock is currently owned by institutional investors and hedge funds.

About Varonis Systems

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.

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