Varonis Systems (NASDAQ:VRNS) Upgraded by Wells Fargo & Company to Overweight Rating

Key Points

• Wells Fargo & Company upgraded Varonis Systems (NASDAQ:VRNS) from an "equal weight" rating to an "overweight" rating, increasing the price target from $51.00 to $70.00, indicating potential upside of 32.60% from the stock's previous close.
• Despite the upgrade, Varonis Systems' stock has seen a 2.9% decline recently, with the company's current market cap at $5.92 billion.
• Research analysts maintain a consensus rating of "Moderate Buy" for Varonis Systems, with a consensus price target of $58.50, following mixed ratings from other analysts.

Varonis Systems (NASDAQ:VRNS - Get Free Report) was upgraded by analysts at Wells Fargo & Company from an "equal weight" rating to an "overweight" rating in a research note issued to investors on Monday,Benzinga reports. The firm currently has a $70.00 price target on the technology company's stock, up from their prior price target of $51.00. Wells Fargo & Company's price target would suggest a potential upside of 32.60% from the stock's previous close.

Several other equities analysts have also weighed in on VRNS. Robert W. Baird increased their price objective on Varonis Systems from $58.00 to $63.00 and gave the company an "outperform" rating in a report on Wednesday, July 30th. JPMorgan Chase & Co. lowered their price target on Varonis Systems from $55.00 to $45.00 and set an "overweight" rating on the stock in a research report on Monday, April 28th. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $60.00 price objective on shares of Varonis Systems in a research note on Tuesday, July 22nd. Susquehanna raised their target price on Varonis Systems from $55.00 to $65.00 and gave the stock a "positive" rating in a research note on Wednesday, July 30th. Finally, Royal Bank Of Canada raised their price objective on shares of Varonis Systems from $58.00 to $64.00 and gave the stock an "outperform" rating in a report on Wednesday, July 30th. Four research analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $58.50.

Varonis Systems Stock Down 2.9%

VRNS stock opened at $52.79 on Monday. The company has a market cap of $5.92 billion, a P/E ratio of -57.38 and a beta of 0.71. Varonis Systems has a fifty-two week low of $36.53 and a fifty-two week high of $60.58. The stock's 50 day simple moving average is $51.51 and its 200 day simple moving average is $45.87. The company has a debt-to-equity ratio of 1.32, a quick ratio of 1.38 and a current ratio of 1.38.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last issued its quarterly earnings data on Tuesday, July 29th. The technology company reported $0.03 EPS for the quarter, topping the consensus estimate of $0.01 by $0.02. The firm had revenue of $152.16 million during the quarter, compared to the consensus estimate of $147.80 million. Varonis Systems had a negative return on equity of 23.06% and a negative net margin of 17.30%. The company's quarterly revenue was up 16.7% compared to the same quarter last year. During the same period in the prior year, the business posted $0.05 earnings per share. On average, research analysts expect that Varonis Systems will post -0.83 earnings per share for the current fiscal year.

Insider Activity

In related news, CFO Guy Melamed sold 51,889 shares of the company's stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $55.10, for a total transaction of $2,859,083.90. Following the transaction, the chief financial officer directly owned 470,602 shares in the company, valued at approximately $25,930,170.20. This represents a 9.93% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Den Bosch Fred Van sold 6,000 shares of the company's stock in a transaction dated Wednesday, June 4th. The shares were sold at an average price of $50.00, for a total transaction of $300,000.00. Following the transaction, the director owned 131,666 shares in the company, valued at $6,583,300. The trade was a 4.36% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 60,889 shares of company stock worth $3,324,324 over the last quarter. 2.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Varonis Systems

Hedge funds have recently added to or reduced their stakes in the stock. Voya Investment Management LLC boosted its stake in Varonis Systems by 98.6% in the first quarter. Voya Investment Management LLC now owns 2,321,317 shares of the technology company's stock valued at $93,897,000 after acquiring an additional 1,152,687 shares in the last quarter. Goldman Sachs Group Inc. raised its holdings in shares of Varonis Systems by 26.2% during the first quarter. Goldman Sachs Group Inc. now owns 4,084,830 shares of the technology company's stock worth $165,231,000 after purchasing an additional 848,408 shares during the last quarter. RGM Capital LLC raised its holdings in shares of Varonis Systems by 45.5% during the first quarter. RGM Capital LLC now owns 2,706,531 shares of the technology company's stock worth $109,479,000 after purchasing an additional 846,475 shares during the last quarter. Allspring Global Investments Holdings LLC raised its holdings in shares of Varonis Systems by 319.8% during the second quarter. Allspring Global Investments Holdings LLC now owns 971,544 shares of the technology company's stock worth $48,606,000 after purchasing an additional 740,114 shares during the last quarter. Finally, Cubist Systematic Strategies LLC purchased a new position in Varonis Systems in the first quarter valued at $28,871,000. 95.65% of the stock is currently owned by institutional investors.

Varonis Systems Company Profile

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.

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