Robert W. Baird Issues Positive Forecast for Varonis Systems (NASDAQ:VRNS) Stock Price

Key Points

• Robert W. Baird raised Varonis Systems’ price target to $45 from $40 but maintained a Neutral rating. The broader analyst consensus is Moderate Buy, with an average target of $46.63.
• Varonis exceeded quarterly expectations, reporting $180.0 million in revenue, up 18.3% year over year, and EPS of $0.04 versus the $0.01 consensus. Management also issued full-year 2026 EPS guidance of $0.14–$0.15.
• Despite the earnings beat and stronger guidance, the stock declined 4.3%, reflecting high investor expectations. Varonis remains unprofitable on a reported basis, with a negative net margin and return on equity.

Varonis Systems (NASDAQ:VRNS - Get Free Report) had its price objective raised by equities researchers at Robert W. Baird from $40.00 to $45.00 in a research report issued on Wednesday,Benzinga reports. The brokerage currently has a "neutral" rating on the technology company's stock. Robert W. Baird's price objective indicates a potential upside of 0.74% from the company's previous close.

Several other research analysts have also commented on VRNS. DA Davidson raised their price target on shares of Varonis Systems from $30.00 to $37.00 and gave the company a "buy" rating in a report on Wednesday, April 29th. JPMorgan Chase & Co. raised their target price on shares of Varonis Systems from $39.00 to $55.00 and gave the company an "overweight" rating in a research note on Monday. Cantor Fitzgerald restated an "overweight" rating and set a $55.00 target price (up from $35.00) on shares of Varonis Systems in a report on Friday. Weiss Ratings upgraded shares of Varonis Systems from a "sell (e+)" rating to a "sell (d-)" rating in a report on Tuesday, June 30th. Finally, KeyCorp initiated coverage on shares of Varonis Systems in a research report on Tuesday, May 26th. They set a "sector weight" rating for the company. Seventeen analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $46.63.

Varonis Systems Trading Down 4.3%

Shares of VRNS opened at $44.67 on Wednesday. Varonis Systems has a twelve month low of $19.70 and a twelve month high of $63.90. The firm has a market capitalization of $5.13 billion, a P/E ratio of -39.18 and a beta of 0.83. The company has a current ratio of 1.69, a quick ratio of 1.69 and a debt-to-equity ratio of 1.00. The stock's fifty day simple moving average is $38.64 and its 200 day simple moving average is $30.56.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last posted its quarterly 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 during the quarter, compared to the consensus estimate of $176.83 million. Varonis Systems had a negative return on equity of 20.27% and a negative net margin of 19.75%.The firm's quarterly revenue was up 18.3% compared to the same quarter last year. During the same quarter in the previous year, the business 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. On average, equities research analysts forecast that Varonis Systems will post -1.05 earnings per share for the current year.

Institutional Trading of Varonis Systems

Several large investors have recently bought and sold shares of VRNS. Signaturefd LLC lifted its position in shares of Varonis Systems by 47.8% during the fourth quarter. Signaturefd LLC now owns 995 shares of the technology company's stock worth $33,000 after purchasing an additional 322 shares in the last quarter. Benjamin Edwards Inc. increased its stake in Varonis Systems by 5.5% during the 2nd quarter. Benjamin Edwards Inc. now owns 6,692 shares of the technology company's stock worth $340,000 after buying an additional 351 shares during the period. Amundi lifted its holdings in Varonis Systems by 0.7% in the 3rd quarter. Amundi now owns 52,886 shares of the technology company's stock worth $3,212,000 after buying an additional 387 shares in the last quarter. Osaic Holdings Inc. grew its stake in shares of Varonis Systems by 10.5% during the second quarter. Osaic Holdings Inc. now owns 4,647 shares of the technology company's stock valued at $234,000 after acquiring an additional 440 shares in the last quarter. Finally, Allworth Financial LP increased its position in shares of Varonis Systems by 201.3% during the third quarter. Allworth Financial LP now owns 693 shares of the technology company's stock worth $40,000 after acquiring an additional 463 shares during the last quarter. Institutional investors and hedge funds own 95.65% of the company's stock.

Key Headlines Impacting Varonis Systems

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

• Positive Sentiment: JPMorgan raised its price target to $55 from $39 and maintained an Overweight rating, implying further upside from recent trading levels and signaling increased confidence in Varonis’ growth prospects. JPMorgan Chase & Co. Boosts Varonis Systems Price Target to $55.00
• Positive Sentiment: Q2 revenue rose 18.3% year over year to $180.0 million, exceeding the $176.8 million analyst estimate, while adjusted EPS of $0.04 topped the $0.01 consensus. EPS also improved from $0.03 in the year-ago quarter. Varonis Announces Second Quarter 2026 Financial Results
• Positive Sentiment: SaaS annual recurring revenue excluding conversions increased 25% year over year, while total SaaS ARR reached $726 million, up 52%. Management also cited growth in new logos and momentum in Atlas, Interceptor and Database Activity Monitoring.
• Positive Sentiment: Management’s Q3 and full-year 2026 forecasts exceeded consensus EPS expectations. Q3 EPS is projected at $0.02-$0.03 versus an anticipated loss of $0.04, while full-year EPS is forecast at $0.14-$0.15 versus consensus for a $0.11 loss. Full-year revenue guidance of $735 million-$739 million was broadly in line with estimates.
• Neutral Sentiment: The earnings call provided additional commentary on SaaS adoption, newer products and the company’s data- and AI-security strategy, but investors will likely look for sustained growth as Varonis continues its transition toward a SaaS model. Varonis Q2 2026 Earnings Call Transcript
• Negative Sentiment: The stock declined following the earnings release despite the beats, indicating that elevated investor expectations may have outweighed the strong quarterly figures and guidance. Varonis also remains unprofitable on a reported basis, with a negative net margin and return on equity.

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.

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