Varonis Systems (NASDAQ:VRNS) Updates FY 2026 Earnings Guidance

Key Points

• Varonis Systems raised its FY 2026 outlook, projecting EPS of $0.14–$0.15 versus the consensus estimate of a $0.11 loss, while forecasting revenue of $735 million–$739 million, broadly in line with expectations.
• The company reported quarterly EPS of $0.06, beating estimates by $0.11, while revenue rose 26.9% year over year to $173.13 million.
• Analysts remain broadly bullish, with a consensus “Moderate Buy” rating and a $46.26 price target; institutional investors own approximately 95.65% of the stock.

Varonis Systems (NASDAQ:VRNS - Get Free Report) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided EPS guidance of 0.140-0.150 for the period, compared to the consensus estimate of -0.110. The company issued revenue guidance of $735.0 million-$739.0 million, compared to the consensus revenue estimate of $734.8 million. Varonis Systems also updated its Q3 2026 guidance to 0.020-0.030 EPS.

Varonis Systems Price Performance

Shares of Varonis Systems stock traded down $2.00 on Tuesday, hitting $44.67. The company's stock had a trading volume of 4,477,428 shares, compared to its average volume of 2,688,088. The company has a market capitalization of $5.13 billion, a price-to-earnings ratio of -39.18 and a beta of 0.83. Varonis Systems has a 1 year low of $19.70 and a 1 year high of $63.90. 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 firm has a fifty day moving average price of $38.34 and a 200-day moving average price of $30.50.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last issued its quarterly earnings data on Tuesday, April 28th. The technology company reported $0.06 EPS for the quarter, beating the consensus estimate of ($0.05) by $0.11. The company had revenue of $173.13 million for the quarter, compared to analyst estimates of $165.52 million. Varonis Systems had a negative return on equity of 20.27% and a negative net margin of 19.75%.Varonis Systems's revenue was up 26.9% on a year-over-year basis. As a group, sell-side analysts anticipate that Varonis Systems will post -1.05 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on VRNS. DA Davidson increased their target price on Varonis Systems from $30.00 to $37.00 and gave the company a "buy" rating in a research report on Wednesday, April 29th. Barclays upped their price objective on shares of Varonis Systems from $33.00 to $52.00 and gave the stock an "overweight" rating in a research report on Monday, July 13th. B. Riley Financial increased their price objective on shares of Varonis Systems from $45.00 to $55.00 and gave the company a "buy" rating in a report on Friday. JPMorgan Chase & Co. lifted their target price on shares of Varonis Systems from $39.00 to $55.00 and gave the company an "overweight" rating in a research report on Monday. Finally, UBS Group lifted their price objective on Varonis Systems from $37.00 to $58.00 and gave the stock a "buy" rating in a report on Tuesday, July 21st. One investment analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $46.26.

Hedge Funds Weigh In On Varonis Systems

A number of institutional investors have recently added to or reduced their stakes in VRNS. Benjamin Edwards Inc. increased its stake in shares of Varonis Systems by 5.5% in the 2nd quarter. Benjamin Edwards Inc. now owns 6,692 shares of the technology company's stock worth $340,000 after acquiring an additional 351 shares during the last quarter. Caption Management LLC raised its holdings in shares of Varonis Systems by 130.4% during the 3rd quarter. Caption Management LLC now owns 5,750 shares of the technology company's stock worth $330,000 after acquiring an additional 24,650 shares during the period. Merit Financial Group LLC boosted its position in shares of Varonis Systems by 14.7% during the 3rd quarter. Merit Financial Group LLC now owns 5,679 shares of the technology company's stock valued at $326,000 after acquiring an additional 728 shares during the last quarter. Xponance LLC boosted its position in shares of Varonis Systems by 6.2% during the 4th quarter. Xponance LLC now owns 9,212 shares of the technology company's stock valued at $302,000 after acquiring an additional 539 shares during the last quarter. Finally, Cibc World Markets Corp purchased a new stake in shares of Varonis Systems in the fourth quarter valued at about $252,000. Hedge funds and other institutional investors own 95.65% of the company's stock.

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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