Varonis Systems (NASDAQ:VRNS) Releases Q2 2026 Earnings Guidance

Key Points

• Q2 2026 guidance: Varonis gave EPS guidance of $0.000–$0.010 and revenue guidance of $175.0M–$178.0M (consensus EPS was -$0.040; consensus revenue $176.5M) and set FY2026 EPS at $0.110–$0.120.
• Recent quarter beat: On April 28 Varonis reported $0.06 EPS (vs. consensus -$0.05) and $173.13M revenue (vs. $165.52M expected), outperforming estimates.
• Analyst sentiment: The street rates Varonis an average of "Moderate Buy" with an average price target of $41.89, despite several firms lowering their targets recently.

Varonis Systems (NASDAQ:VRNS - Get Free Report) updated its second quarter 2026 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 0.000-0.010 for the period, compared to the consensus estimate of -0.040. The company issued revenue guidance of $175.0 million-$178.0 million, compared to the consensus revenue estimate of $176.5 million. Varonis Systems also updated its FY 2026 guidance to 0.110-0.120 EPS.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on the stock. Cantor Fitzgerald decreased their price objective on shares of Varonis Systems from $50.00 to $35.00 and set an "overweight" rating on the stock in a report on Wednesday, February 4th. Piper Sandler raised shares of Varonis Systems from a "neutral" rating to an "overweight" rating and boosted their price objective for the stock from $45.00 to $47.00 in a report on Monday, January 5th. Needham & Company LLC decreased their price objective on shares of Varonis Systems from $55.00 to $30.00 and set a "buy" rating on the stock in a report on Wednesday, February 4th. DA Davidson raised shares of Varonis Systems from a "neutral" rating to a "buy" rating and boosted their price objective for the stock from $25.00 to $30.00 in a report on Thursday, February 5th. Finally, Truist Financial cut their target price on shares of Varonis Systems from $42.00 to $34.00 and set a "buy" rating for the company in a research report on Wednesday, February 4th. One analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, Varonis Systems has an average rating of "Moderate Buy" and an average price target of $41.89.

Varonis Systems Price Performance

VRNS traded up $0.39 during midday trading on Tuesday, reaching $25.44. 3,555,812 shares of the company's stock were exchanged, compared to its average volume of 2,959,016. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.97 and a quick ratio of 1.97. The stock has a market capitalization of $2.92 billion, a PE ratio of -22.32 and a beta of 0.68. The business's 50-day moving average price is $23.32 and its 200 day moving average price is $31.80. Varonis Systems has a 1-year low of $19.70 and a 1-year high of $63.90.

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 (EPS) for the quarter, topping analysts' consensus estimates of ($0.05) by $0.11. The company had revenue of $173.13 million during the quarter, compared to analysts' expectations of $165.52 million. Varonis Systems had a negative net margin of 20.74% and a negative return on equity of 22.95%. 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 analysts anticipate that Varonis Systems will post -0.99 EPS for the current fiscal year.

Insider Activity

In other news, EVP David Bass acquired 2,980 shares of the business's stock in a transaction dated Monday, February 9th. The stock was acquired at an average price of $23.47 per share, with a total value of $69,940.60. Following the completion of the transaction, the executive vice president directly owned 1,042,924 shares in the company, valued at approximately $24,477,426.28. This represents a 0.29% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director John J. Gavin, Jr. acquired 5,000 shares of the business's stock in a transaction dated Friday, February 6th. The stock was purchased at an average cost of $22.54 per share, with a total value of $112,700.00. Following the transaction, the director owned 273,666 shares of the company's stock, valued at approximately $6,168,431.64. The trade was a 1.86% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders bought a total of 25,780 shares of company stock valued at $579,403 over the last 90 days. Insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On Varonis Systems

Several institutional investors have recently bought and sold shares of the business. Pacer Advisors Inc. grew its stake in Varonis Systems by 86.9% during the fourth quarter. Pacer Advisors Inc. now owns 11,637 shares of the technology company's stock worth $382,000 after buying an additional 5,411 shares during the period. Invesco Ltd. boosted its stake in shares of Varonis Systems by 14.8% in the fourth quarter. Invesco Ltd. now owns 119,313 shares of the technology company's stock valued at $3,913,000 after purchasing an additional 15,384 shares during the period. Corient Private Wealth LLC boosted its stake in shares of Varonis Systems by 4.8% in the fourth quarter. Corient Private Wealth LLC now owns 12,717 shares of the technology company's stock valued at $417,000 after purchasing an additional 585 shares during the period. Empowered Funds LLC purchased a new position in shares of Varonis Systems in the fourth quarter valued at $37,000. Finally, XTX Topco Ltd bought a new position in Varonis Systems during the 4th quarter valued at $811,000. 95.65% of the stock is currently owned by hedge funds and other institutional investors.

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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