Varonis Systems, Inc. (NASDAQ:VRNS) Stock Now Rated "Moderate Buy" by Wall Street Analysts

Key Points

• Varonis Systems holds a “Moderate Buy” consensus rating from 24 analysts: 16 rate it a buy, seven hold, and one sell. The average 12-month price target is $49.79.
• The company exceeded quarterly expectations, reporting $0.04 in EPS versus a $0.01 estimate and $180.02 million in revenue, up 18.3% year over year.
• VRNS opened at $46.37, with its shares trading well above the 200-day moving average of $37.33; institutional investors own approximately 95.65% of outstanding shares.

Varonis Systems, Inc. (NASDAQ:VRNS - Get Free Report) has earned a consensus rating of "Moderate Buy" from the twenty-four ratings firms that are presently covering the firm, MarketBeat Ratings reports. One analyst has rated the stock with a sell rating, seven have assigned a hold rating and sixteen have given a buy rating to the company. The average 1 year target price among brokerages that have issued ratings on the stock in the last year is $49.79.

Several research analysts have commented on the stock. Wells Fargo & Company raised their price target on shares of Varonis Systems from $35.00 to $50.00 and gave the company an "overweight" rating in a report on Monday, July 20th. Truist Financial upped their price target on shares of Varonis Systems from $34.00 to $52.00 and gave the stock a "buy" rating in a report on Tuesday, July 21st. UBS Group upped their price target on shares of Varonis Systems from $37.00 to $58.00 and gave the stock a "buy" rating in a report on Tuesday, July 21st. B. Riley Financial increased their price objective on Varonis Systems from $45.00 to $55.00 and gave the stock a "buy" rating in a research report on Friday, July 24th. Finally, Cantor Fitzgerald reissued an "overweight" rating on shares of Varonis Systems in a research note on Tuesday, September 8th.

Varonis Systems Price Performance

VRNS stock opened at $46.37 on Tuesday. The firm has a 50 day moving average of $45.43 and a 200-day moving average of $37.33. The company has a current ratio of 1.65, a quick ratio of 1.65 and a debt-to-equity ratio of 1.02. Varonis Systems has a 12 month low of $19.70 and a 12 month high of $63.80. The firm has a market capitalization of $5.33 billion, a P/E ratio of -37.70 and a beta of 0.77.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last issued its quarterly earnings data 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 company had revenue of $180.02 million during the quarter, compared to analysts' expectations of $176.83 million. Varonis Systems had a negative net margin of 20.55% and a negative return on equity of 19.18%. Varonis Systems's revenue for the quarter was up 18.3% on a year-over-year basis. During the same quarter in the previous year, the company 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. As a group, sell-side analysts predict that Varonis Systems will post -0.96 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Varonis Systems

A number of hedge funds and other institutional investors have recently bought and sold shares of VRNS. Quantinno Capital Management LP raised its position in Varonis Systems by 59.0% during the first quarter. Quantinno Capital Management LP now owns 76,843 shares of the technology company's stock valued at $1,650,000 after purchasing an additional 28,512 shares in the last quarter. Arrowstreet Capital Limited Partnership boosted its holdings in shares of Varonis Systems by 218.4% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 1,409,487 shares of the technology company's stock worth $30,262,000 after purchasing an additional 966,817 shares in the last quarter. Bank of New York Mellon Corp increased its position in shares of Varonis Systems by 17.1% during the 1st quarter. Bank of New York Mellon Corp now owns 552,203 shares of the technology company's stock valued at $11,856,000 after purchasing an additional 80,743 shares during the last quarter. California State Teachers Retirement System raised its holdings in shares of Varonis Systems by 23.1% during the 1st quarter. California State Teachers Retirement System now owns 132,215 shares of the technology company's stock valued at $2,839,000 after buying an additional 24,775 shares in the last quarter. Finally, Trillium Asset Management LLC purchased a new position in shares of Varonis Systems during the 2nd quarter valued at about $3,477,000. Hedge funds and other institutional investors own 95.65% of the company's stock.

About Varonis Systems

Varonis Systems, Inc develops data security and cyber-risk management software for organizations seeking to protect sensitive information from unauthorized access, misuse, and cyberattacks. Its platform helps customers discover and classify data, analyze access permissions, identify unusual activity, and remediate security exposures across on-premises and cloud-based environments.

The company's offerings are designed to secure data stored in file systems, collaboration platforms, databases, email, and other enterprise repositories.

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