Varonis Systems (NASDAQ:VRNS) Releases Q3 2026 Earnings Guidance

Key Points

• Varonis Systems raised its Q3 2026 outlook, forecasting EPS of $0.02–$0.03 versus the consensus estimate of a $0.04 loss. Revenue guidance of $185 million–$188 million is broadly in line with the $186.2 million consensus, while full-year EPS guidance was set at $0.14–$0.15.
• Analyst sentiment remains favorable, with a consensus “Moderate Buy” rating and an average price target of $46.26. Recent target increases include TD Cowen’s boost to $50 and Needham’s increase to $40.
• VRNS shares fell 4.3% to $44.67 during Tuesday trading, despite the company’s previous quarterly earnings and revenue beating analyst expectations. Institutional investors own approximately 95.65% of the stock.

Varonis Systems (NASDAQ:VRNS - Get Free Report) updated its third quarter 2026 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 0.020-0.030 for the period, compared to the consensus estimate of -0.040. The company issued revenue guidance of $185.0 million-$188.0 million, compared to the consensus revenue estimate of $186.2 million. Varonis Systems also updated its FY 2026 guidance to 0.140-0.150 EPS.

Wall Street Analyst Weigh In

Several brokerages have weighed in on VRNS. Weiss Ratings raised Varonis Systems from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Tuesday, June 30th. Needham & Company LLC boosted their price target on Varonis Systems from $36.00 to $40.00 and gave the company a "buy" rating in a research note on Tuesday, June 23rd. KeyCorp initiated coverage on Varonis Systems in a report on Tuesday, May 26th. They issued a "sector weight" rating on the stock. DA Davidson raised their price objective on shares of Varonis Systems from $30.00 to $37.00 and gave the company a "buy" rating in a research report on Wednesday, April 29th. Finally, TD Cowen raised their price objective on shares of Varonis Systems from $40.00 to $50.00 and gave the company a "buy" rating in a research report on Monday, July 13th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Varonis Systems currently has a consensus rating of "Moderate Buy" and an average target price of $46.26.

Varonis Systems Stock Down 4.3%

Shares of VRNS traded down $2.00 during trading hours on Tuesday, hitting $44.67. 4,477,428 shares of the company were exchanged, compared to its average volume of 2,688,088. The company has a debt-to-equity ratio of 1.00, a quick ratio of 1.69 and a current ratio of 1.69. The company has a market cap of $5.13 billion, a PE ratio of -39.18 and a beta of 0.83. The firm's 50 day moving average is $38.34 and its 200-day moving average is $30.50. Varonis Systems has a 52 week low of $19.70 and a 52 week high of $63.90.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last posted its earnings results on Tuesday, April 28th. The technology company reported $0.06 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.05) by $0.11. The business had revenue of $173.13 million for the quarter, compared to analyst estimates of $165.52 million. Varonis Systems had a negative net margin of 19.75% and a negative return on equity of 20.27%. Varonis Systems's revenue was up 26.9% compared to the same quarter last year. On average, equities research analysts forecast that Varonis Systems will post -1.05 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in VRNS. Main Street Financial Solutions LLC acquired a new position in Varonis Systems in the 2nd quarter valued at approximately $228,000. Jain Global LLC bought a new stake in shares of Varonis Systems in the 3rd quarter worth approximately $224,000. PCM Encore LLC acquired a new stake in shares of Varonis Systems during the 4th quarter worth approximately $214,000. Cresset Asset Management LLC acquired a new stake in shares of Varonis Systems during the 2nd quarter worth approximately $213,000. Finally, Twin Tree Management LP bought a new stake in shares of Varonis Systems during the third quarter valued at approximately $211,000. Institutional investors and hedge funds own 95.65% of the company's stock.

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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