Varonis Systems (NASDAQ:VRNS) Updates Q3 2025 Earnings Guidance

Key Points

• Varonis Systems has updated its Q3 2025 earnings guidance, expecting earnings per share (EPS) of $0.040-$0.060, surpassing the consensus estimate of -$0.030, and projected revenue of $163-$168 million, slightly above the consensus revenue estimate of $166.3 million.
• The company's stock saw a 1.7% increase, with a current market price of $57.16, and it has set its full-year 2025 guidance to an EPS of $0.110-$0.120.
• Several analysts have raised their price targets for Varonis Systems, with Robert W. Baird increasing theirs from $58.00 to $63.00, indicating a positive outlook for the stock.

Varonis Systems (NASDAQ:VRNS - Get Free Report) issued an update on its third quarter 2025 earnings guidance on Wednesday morning. The company provided EPS guidance of 0.040-0.060 for the period, compared to the consensus EPS estimate of -0.030. The company issued revenue guidance of $163.0 million-$168.0 million, compared to the consensus revenue estimate of $166.3 million. Varonis Systems also updated its FY 2025 guidance to 0.110-0.120 EPS.

Varonis Systems Price Performance

Shares of Varonis Systems stock traded up $0.57 during trading on Friday, reaching $58.06. The company's stock had a trading volume of 3,412,272 shares, compared to its average volume of 1,279,114. The stock has a 50-day moving average price of $55.81 and a two-hundred day moving average price of $48.77. The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 1.32. Varonis Systems has a one year low of $36.53 and a one year high of $60.58. The stock has a market capitalization of $6.51 billion, a P/E ratio of -63.11 and a beta of 0.67.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The technology company reported $0.03 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.01 by $0.02. Varonis Systems had a negative return on equity of 23.06% and a negative net margin of 17.30%.The business had revenue of $152.16 million during the quarter, compared to analysts' expectations of $147.80 million. During the same period in the previous year, the business posted $0.05 earnings per share. The firm's revenue for the quarter was up 16.7% compared to the same quarter last year. Varonis Systems has set its FY 2025 guidance at 0.160-0.180 EPS. Q3 2025 guidance at 0.070-0.080 EPS. As a group, sell-side analysts anticipate that Varonis Systems will post -0.83 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

VRNS has been the subject of several research analyst reports. Morgan Stanley boosted their price objective on Varonis Systems from $59.00 to $66.00 and gave the company an "overweight" rating in a research report on Tuesday, September 2nd. UBS Group boosted their price objective on Varonis Systems from $60.00 to $65.00 and gave the company a "buy" rating in a research report on Wednesday, July 30th. Royal Bank Of Canada reiterated an "outperform" rating and issued a $64.00 price objective on shares of Varonis Systems in a research report on Wednesday, September 3rd. DA Davidson upped their price target on Varonis Systems from $47.00 to $50.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 30th. Finally, Wells Fargo & Company raised Varonis Systems from an "equal weight" rating to an "overweight" rating and upped their price target for the stock from $51.00 to $70.00 in a research report on Monday, August 11th. Fourteen equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $61.65.

Insider Buying and Selling

In related news, CFO Guy Melamed sold 1,500 shares of Varonis Systems stock in a transaction that occurred on Friday, August 29th. The stock was sold at an average price of $59.59, for a total transaction of $89,385.00. Following the transaction, the chief financial officer owned 412,105 shares of the company's stock, valued at $24,557,336.95. The trade was a 0.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Den Bosch Fred Van sold 3,000 shares of Varonis Systems stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $55.08, for a total value of $165,240.00. Following the transaction, the director directly owned 128,666 shares in the company, valued at approximately $7,086,923.28. The trade was a 2.28% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 113,386 shares of company stock valued at $6,429,405. 2.30% of the stock is currently owned by corporate insiders.

Institutional Trading of Varonis Systems

Hedge funds and other institutional investors have recently made changes to their positions in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Varonis Systems by 45.5% during the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,212,405 shares of the technology company's stock valued at $61,525,000 after acquiring an additional 378,919 shares during the period. Alliancebernstein L.P. raised its holdings in Varonis Systems by 107.8% during the second quarter. Alliancebernstein L.P. now owns 288,635 shares of the technology company's stock valued at $14,648,000 after acquiring an additional 149,742 shares during the period. Man Group plc increased its holdings in shares of Varonis Systems by 34.2% in the second quarter. Man Group plc now owns 565,709 shares of the technology company's stock worth $28,710,000 after purchasing an additional 144,175 shares during the last quarter. Sei Investments Co. increased its stake in Varonis Systems by 58.5% during the second quarter. Sei Investments Co. now owns 349,061 shares of the technology company's stock worth $17,715,000 after acquiring an additional 128,777 shares during the last quarter. Finally, Vident Advisory LLC increased its stake in Varonis Systems by 38.0% during the second quarter. Vident Advisory LLC now owns 263,056 shares of the technology company's stock worth $13,350,000 after acquiring an additional 72,421 shares during the last quarter. 95.65% of the stock is currently owned by institutional investors.

About Varonis Systems

Varonis Systems, Inc provides software products and services that allow enterprises to manage, analyze, alert, and secure enterprise data in North America, Europe, the Middle East, Africa, and internationally. Its software enables enterprises to protect data stored on premises and in the cloud, including sensitive files and emails; confidential personal data belonging to customers, and patients and employees' data; financial records; source code, strategic and product plans; and other intellectual property.