UBS Group Raises Varonis Systems (NASDAQ:VRNS) Price Target to $37.00

Key Points

• UBS raised its price target to $37 (from $30) and kept a "buy" rating on Varonis, implying roughly a 35% upside, while multiple other analysts also lifted targets and the consensus average price target sits at $41.26 with a "Moderate Buy" rating.
• Varonis beat Q1 expectations (EPS $0.06 vs. -$0.05; revenue $173.1M vs. $165.5M), raised FY2026 EPS and SaaS ARR guidance, and shares rose about 7.6% to $27.38 on heavy volume.
• Despite the upbeat results, Varonis remains unprofitable (negative net margin and ROE) and its 200‑day moving average is above the current price, underscoring lingering profitability and valuation risks even as insiders and institutions increased their holdings.

Varonis Systems (NASDAQ:VRNS - Get Free Report) had its price target lifted by analysts at UBS Group from $30.00 to $37.00 in a report issued on Wednesday,Benzinga reports. The firm presently has a "buy" rating on the technology company's stock. UBS Group's price objective would indicate a potential upside of 35.15% from the stock's current price.

VRNS has been the subject of several other research reports. Susquehanna raised their price target on shares of Varonis Systems from $30.00 to $36.00 and gave the company a "positive" rating in a research report on Wednesday. Wells Fargo & Company raised their price target on shares of Varonis Systems from $28.00 to $35.00 and gave the company an "overweight" rating in a research report on Wednesday. Stephens raised their price target on shares of Varonis Systems from $30.00 to $33.00 and gave the company an "equal weight" rating in a research report on Wednesday. William Blair reissued a "market perform" rating on shares of Varonis Systems in a research report on Monday, March 23rd. Finally, Cantor Fitzgerald reduced their price target on shares of Varonis Systems from $50.00 to $35.00 and set an "overweight" rating for the company in a research note on Wednesday, February 4th. Fifteen analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $41.26.

Varonis Systems Stock Up 7.6%

Shares of NASDAQ VRNS traded up $1.94 on Wednesday, reaching $27.38. 5,092,538 shares of the company's stock traded hands, compared to its average volume of 2,982,984. Varonis Systems has a 12 month low of $19.70 and a 12 month high of $63.90. The business's 50 day simple moving average is $23.32 and its two-hundred day simple moving average is $31.54. The company has a market cap of $3.14 billion, a price-to-earnings ratio of -24.03 and a beta of 0.68. The company has a quick ratio of 1.97, a current ratio of 1.97 and a debt-to-equity ratio of 0.76.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last announced its earnings results on Tuesday, April 28th. The technology company reported $0.06 earnings per share for the quarter, beating analysts' consensus estimates of ($0.05) by $0.11. The business had revenue of $173.13 million during the quarter, compared to the consensus estimate of $165.52 million. Varonis Systems had a negative net margin of 20.74% and a negative return on equity of 22.95%. The company's quarterly revenue was up 26.9% compared to the same quarter last year. 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. As a group, equities research analysts forecast that Varonis Systems will post -0.99 EPS for the current fiscal year.

Insider Buying and Selling at Varonis Systems

In related news, Director John J. Gavin, Jr. bought 5,000 shares of the firm's stock in a transaction on Friday, February 6th. The stock was acquired at an average cost of $22.54 per share, for a total transaction of $112,700.00. Following the purchase, the director owned 273,666 shares in the company, valued at approximately $6,168,431.64. This represents a 1.86% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Avrohom J. Kess bought 17,800 shares of the firm's stock in a transaction on Friday, February 6th. The shares were bought at an average price of $22.29 per share, with a total value of $396,762.00. Following the completion of the purchase, the director owned 49,403 shares in the company, valued at approximately $1,101,192.87. The trade was a 56.32% increase in their position. The SEC filing for this purchase provides additional information. In the last ninety days, insiders purchased 25,780 shares of company stock worth $579,403. Insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On Varonis Systems

Hedge funds have recently modified their holdings of the business. Hodges Capital Management Inc. grew its position in shares of Varonis Systems by 146.3% during the 3rd quarter. Hodges Capital Management Inc. now owns 126,450 shares of the technology company's stock valued at $7,267,000 after acquiring an additional 75,120 shares during the period. Readystate Asset Management LP bought a new stake in shares of Varonis Systems during the 3rd quarter valued at $13,731,000. Allspring Global Investments Holdings LLC grew its position in shares of Varonis Systems by 69.5% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 1,646,351 shares of the technology company's stock valued at $95,192,000 after acquiring an additional 674,807 shares during the period. AustralianSuper Pty Ltd grew its position in shares of Varonis Systems by 29.6% during the 3rd quarter. AustralianSuper Pty Ltd now owns 602,379 shares of the technology company's stock valued at $34,619,000 after acquiring an additional 137,713 shares during the period. Finally, Ion Asset Management Ltd. bought a new stake in shares of Varonis Systems during the 3rd quarter valued at $5,172,000. Institutional investors own 95.65% of the company's stock.

Key Stories Impacting Varonis Systems

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

• Positive Sentiment: Q1 beat and upgraded guidance — Varonis reported $0.06 EPS vs. a -$0.05 consensus and revenue of $173.1M (above estimates), raised FY2026 EPS guidance to $0.110–0.120 and Q2 EPS to $0.000–0.010 while nudging FY revenue guidance above Street estimates. Varonis Announces First Quarter 2026 Financial Results
• Positive Sentiment: SaaS ARR acceleration — management signaled total SaaS ARR guidance of roughly $814M–$845M for 2026 after Q1; total SaaS ARR was reported at $683.2M (big YoY growth) and SaaS ARR ex-conversions rose ~29% YoY — a key metric for recurring revenue strength. Varonis signals $814M-$845M 2026 total SaaS ARR
• Positive Sentiment: Analyst bullishness — multiple firms raised targets/ratings after results (examples: Wedbush to $37/outperform, Wells Fargo to $35/overweight, Needham/Susquehanna to $36, Barclays/Stephens to $33), signaling renewed sell-side confidence and scope for upside. These Analysts Increase Their Forecasts On Varonis Systems Following Q1 Results
• Neutral Sentiment: Product / M&A progress — company launched Varonis Atlas (leveraging the AllTrue.ai acquisition) and posted the earnings deck and call transcript for deeper investor review; these items help validate strategy but impact is medium-term. View Press Release / Slide Deck
• Negative Sentiment: Profitability and longer-term technicals — Varonis remains unprofitable on a net-margin and ROE basis, and its 200‑day moving average sits above the current price, underscoring residual execution and valuation risks despite the beat. Market data and metrics

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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