Varonis Systems' (VRNS) Outperform Rating Reaffirmed at Royal Bank Of Canada

Key Points

• Varonis Systems' stock has been reaffirmed with an "outperform" rating by Royal Bank of Canada, with a price target of $64.00, suggesting a potential upside of 15.12%.
• The consensus rating for Varonis is "Moderate Buy", with a target price averaging $61.65 from analysts, while the company's stock trades at around $55.59.
• Varonis reported earnings of $0.03 per share for the last quarter, exceeding analyst expectations, with revenue up 16.7% year-over-year, amounting to $152.16 million.

Royal Bank Of Canada reiterated their outperform rating on shares of Varonis Systems (NASDAQ:VRNS - Free Report) in a report published on Wednesday,Benzinga reports. The firm currently has a $64.00 price target on the technology company's stock.

Several other equities research analysts have also recently commented on VRNS. Citigroup upped their price target on Varonis Systems from $51.00 to $58.00 and gave the stock a "neutral" rating in a research note on Monday, August 18th. Wedbush restated an "outperform" rating and issued a $65.00 price target on shares of Varonis Systems in a research note on Wednesday, September 3rd. Morgan Stanley lifted their price target on shares of Varonis Systems from $59.00 to $66.00 and gave the company an "overweight" rating in a research report on Tuesday, September 2nd. Robert W. Baird boosted their target price on Varonis Systems from $58.00 to $63.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 30th. Finally, B. Riley started coverage on Varonis Systems in a research note on Tuesday, August 26th. They set a "buy" rating and a $80.00 price target for the company. Fourteen equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $61.65.

Varonis Systems Stock Performance

Shares of Varonis Systems stock traded up $1.26 on Wednesday, hitting $57.29. The stock had a trading volume of 683,137 shares, compared to its average volume of 1,546,979. The stock has a market cap of $6.42 billion, a price-to-earnings ratio of -62.24 and a beta of 0.67. Varonis Systems has a 52-week low of $36.53 and a 52-week high of $60.58. The company's 50 day moving average price is $54.60 and its 200 day moving average price is $47.79. 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 (NASDAQ:VRNS - Get Free Report) last posted its quarterly earnings data on Tuesday, July 29th. The technology company reported $0.03 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.02. The business 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 revenue was up 16.7% compared to the same quarter last year. During the same period in the prior year, the company earned $0.05 earnings per share. Varonis Systems has set its FY 2025 guidance at 0.160-0.180 EPS. Q3 2025 guidance at 0.070-0.080 EPS. On average, research analysts anticipate that Varonis Systems will post -0.83 EPS for the current year.

Insider Activity at Varonis Systems

In related news, Director Den Bosch Fred Van sold 3,000 shares of the stock in a transaction on Friday, August 1st. The stock was 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 of the company's stock, valued at approximately $7,086,923.28. This trade represents a 2.28% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Guy Melamed sold 51,889 shares of the business's stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $55.10, for a total value of $2,859,083.90. Following the sale, the chief financial officer directly owned 470,602 shares of the company's stock, valued at approximately $25,930,170.20. This trade represents a 9.93% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 113,386 shares of company stock valued at $6,429,405 in the last ninety days. 2.30% of the stock is currently owned by company insiders.

Institutional Trading of Varonis Systems

Several large investors have recently added to or reduced their stakes in the stock. Goldman Sachs Group Inc. grew its position in Varonis Systems by 26.2% in the first quarter. Goldman Sachs Group Inc. now owns 4,084,830 shares of the technology company's stock valued at $165,231,000 after acquiring an additional 848,408 shares in the last quarter. First Trust Advisors LP increased its stake in Varonis Systems by 5.5% during the 2nd quarter. First Trust Advisors LP now owns 2,917,391 shares of the technology company's stock worth $148,058,000 after buying an additional 152,477 shares during the period. RGM Capital LLC lifted its holdings in Varonis Systems by 45.5% in the 1st quarter. RGM Capital LLC now owns 2,706,531 shares of the technology company's stock worth $109,479,000 after buying an additional 846,475 shares in the last quarter. Geode Capital Management LLC boosted its position in Varonis Systems by 0.3% in the 2nd quarter. Geode Capital Management LLC now owns 2,670,343 shares of the technology company's stock valued at $135,537,000 after buying an additional 7,342 shares during the last quarter. Finally, Voya Investment Management LLC boosted its position in Varonis Systems by 98.6% in the 1st quarter. Voya Investment Management LLC now owns 2,321,317 shares of the technology company's stock valued at $93,897,000 after buying an additional 1,152,687 shares during the last quarter. 95.65% of the stock is currently owned by institutional investors and hedge funds.

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.