Q2 Earnings Forecast for Varonis Systems Issued By KeyCorp

Key Points

• KeyCorp initiated coverage on Varonis Systems with a “Sector Weight” rating and forecast Q2 2026 EPS of ($0.25), signaling a cautious outlook.
• Despite the negative earnings outlook, KeyCorp’s projections show losses gradually narrowing over the next several years, with FY2026 EPS estimated at ($0.93) and FY2028 at ($0.82).
• Varonis recently beat its last-quarter expectations, reporting $0.06 EPS on revenue of $173.13 million, and the stock was trading up 5.2% to $31.81 in Friday’s session.

Varonis Systems, Inc. (NASDAQ:VRNS - Free Report) - KeyCorp issued their Q2 2026 earnings per share (EPS) estimates for Varonis Systems in a research report issued on Monday, May 25th. KeyCorp analyst E. Heath anticipates that the technology company will post earnings of ($0.25) per share for the quarter. KeyCorp has a "Sector Weight" rating on the stock. The consensus estimate for Varonis Systems' current full-year earnings is ($1.05) per share. KeyCorp also issued estimates for Varonis Systems' Q3 2026 earnings at ($0.25) EPS, Q4 2026 earnings at ($0.23) EPS, FY2026 earnings at ($0.93) EPS, Q1 2027 earnings at ($0.23) EPS, Q2 2027 earnings at ($0.24) EPS, Q3 2027 earnings at ($0.22) EPS, Q4 2027 earnings at ($0.18) EPS, FY2027 earnings at ($0.87) EPS and FY2028 earnings at ($0.82) EPS.

VRNS has been the subject of several other research reports. Truist Financial dropped their price target on Varonis Systems from $42.00 to $34.00 and set a "buy" rating for the company in a research note on Wednesday, February 4th. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Varonis Systems in a research note on Monday, May 4th. DA Davidson raised their price objective on Varonis Systems from $30.00 to $37.00 and gave the company a "buy" rating in a research note on Wednesday, April 29th. Wells Fargo & Company raised their price objective on Varonis Systems from $28.00 to $35.00 and gave the company an "overweight" rating in a research note on Wednesday, April 29th. Finally, Royal Bank Of Canada raised their price objective on Varonis Systems from $30.00 to $36.00 and gave the company an "outperform" rating in a research note on Wednesday, April 29th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $41.35.

Varonis Systems Trading Up 5.2%

Shares of VRNS stock opened at $31.81 on Friday. The company has a quick ratio of 1.69, a current ratio of 1.69 and a debt-to-equity ratio of 1.00. The business has a 50-day moving average price of $25.42 and a two-hundred day moving average price of $28.46. Varonis Systems has a 12-month low of $19.70 and a 12-month high of $63.90. The firm has a market cap of $3.65 billion, a P/E ratio of -27.90 and a beta of 0.80.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The technology company reported $0.06 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.05) by $0.11. Varonis Systems had a negative return on equity of 20.27% and a negative net margin of 19.75%.The firm had revenue of $173.13 million during the quarter, compared to analyst estimates of $165.52 million. The business's revenue for the quarter was up 26.9% on a year-over-year basis. Varonis Systems has set its FY 2026 guidance at 0.110-0.120 EPS and its Q2 2026 guidance at 0.000-0.010 EPS.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the business. Allworth Financial LP increased its holdings in Varonis Systems by 201.3% during the 3rd quarter. Allworth Financial LP now owns 693 shares of the technology company's stock valued at $40,000 after purchasing an additional 463 shares during the period. Neo Ivy Capital Management bought a new stake in Varonis Systems during the 3rd quarter valued at approximately $42,000. Westside Investment Management Inc. boosted its position in Varonis Systems by 100.0% during the 3rd quarter. Westside Investment Management Inc. now owns 844 shares of the technology company's stock valued at $49,000 after acquiring an additional 422 shares in the last quarter. Signaturefd LLC boosted its position in Varonis Systems by 47.8% during the 4th quarter. Signaturefd LLC now owns 995 shares of the technology company's stock valued at $33,000 after acquiring an additional 322 shares in the last quarter. Finally, CI Investments Inc. boosted its position in Varonis Systems by 48.5% during the 3rd quarter. CI Investments Inc. now owns 1,050 shares of the technology company's stock valued at $60,000 after acquiring an additional 343 shares in the last quarter. Hedge funds and other institutional investors own 95.65% of the company's stock.

More Varonis Systems News

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

• Positive Sentiment: Varonis has gained momentum since its last earnings report, with a recent article highlighting that the stock is up 10.8% over the past month, suggesting investors are still responding favorably to its latest results and outlook. Article Title
• Neutral Sentiment: KeyCorp initiated/updated coverage with a “Sector Weight” rating and issued earnings estimates that, while still negative, show expected losses gradually narrowing over time. That suggests a cautious stance rather than a strong bullish or bearish call. Article Title
• Neutral Sentiment: KeyCorp’s new projections for Varonis’ upcoming quarters and fiscal years mostly reaffirm continued non-GAAP losses, with FY2026 EPS estimated at ($0.93), FY2027 at ($0.87), and FY2028 at ($0.82). The estimates are near consensus and do not appear to be a major positive or negative surprise.

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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