Varonis Systems (NASDAQ:VRNS) Receives Outperform Rating from Wedbush

Key Points

• Wedbush has reiterated its "outperform" rating for Varonis Systems (VRNS) with a price target of $65.00, indicating a potential upside of 16.92% from the current price.
• Varonis reported $152.16 million in revenue for the last quarter, exceeding analyst expectations, and earned $0.03 EPS, beating the consensus estimate of $0.01.
• Insider transactions revealed significant share sales, including CFO Guy Melamed selling 51,889 shares at around $55.10, reducing his holdings by nearly 10%.

Wedbush reiterated their outperform rating on shares of Varonis Systems (NASDAQ:VRNS - Free Report) in a research note issued to investors on Wednesday morning,Benzinga reports. They currently have a $65.00 price objective on the technology company's stock. Wedbush also issued estimates for Varonis Systems' Q3 2025 earnings at ($0.21) EPS, Q4 2025 earnings at ($0.22) EPS, FY2025 earnings at ($0.90) EPS, Q1 2026 earnings at ($0.28) EPS and FY2026 earnings at ($0.74) EPS.

Several other equities analysts also recently issued reports on VRNS. Citigroup upped their target price on Varonis Systems from $51.00 to $58.00 and gave the company a "neutral" rating in a research report on Monday, August 18th. B. Riley initiated coverage on shares of Varonis Systems in a report on Tuesday, August 26th. They issued a "buy" rating and a $80.00 price target on the stock. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $60.00 price target on shares of Varonis Systems in a report on Tuesday, July 22nd. Robert W. Baird upped their price target on shares of Varonis Systems from $58.00 to $63.00 and gave the company an "outperform" rating in a report on Wednesday, July 30th. Finally, DA Davidson upped their price target on shares of Varonis Systems from $47.00 to $50.00 and gave the company a "neutral" rating in a report on Wednesday, July 30th. Fourteen equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $61.65.

Varonis Systems Trading Up 2.2%

Shares of NASDAQ VRNS traded up $1.26 during trading hours on Wednesday, reaching $57.29. The stock had a trading volume of 683,137 shares, compared to its average volume of 1,546,979. The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 1.32. The firm has a market cap of $6.42 billion, a price-to-earnings ratio of -62.24 and a beta of 0.67. The business's fifty day moving average price is $54.60 and its two-hundred day moving average price is $47.79. Varonis Systems has a 52-week low of $36.53 and a 52-week high of $60.58.

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

Insider Activity at Varonis Systems

In related news, CFO Guy Melamed sold 1,500 shares of Varonis Systems stock in a transaction that occurred on Friday, August 29th. The shares were sold at an average price of $59.59, for a total value of $89,385.00. Following the completion of the sale, the chief financial officer owned 412,105 shares in the company, valued at approximately $24,557,336.95. This trade represents a 0.36% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Den Bosch Fred Van sold 3,000 shares of the business's stock in a transaction on Friday, August 1st. The stock was sold at an average price of $55.08, for a total transaction of $165,240.00. Following the completion of the transaction, the director 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 disclosure for this sale can be found here. In the last ninety days, insiders have sold 113,386 shares of company stock worth $6,429,405. Corporate insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On Varonis Systems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in VRNS. Quarry LP grew its position in Varonis Systems by 31.8% during the first quarter. Quarry LP now owns 1,082 shares of the technology company's stock worth $44,000 after buying an additional 261 shares during the period. Mutual of America Capital Management LLC grew its position in Varonis Systems by 0.3% during the first quarter. Mutual of America Capital Management LLC now owns 85,255 shares of the technology company's stock worth $3,449,000 after buying an additional 284 shares during the period. Teza Capital Management LLC grew its position in Varonis Systems by 3.1% during the fourth quarter. Teza Capital Management LLC now owns 9,840 shares of the technology company's stock worth $437,000 after buying an additional 299 shares during the period. Bessemer Group Inc. grew its position in Varonis Systems by 179.1% during the second quarter. Bessemer Group Inc. now owns 494 shares of the technology company's stock worth $25,000 after buying an additional 317 shares during the period. Finally, Benjamin Edwards Inc. grew its position in Varonis Systems by 5.5% during the second quarter. Benjamin Edwards Inc. now owns 6,692 shares of the technology company's stock worth $340,000 after buying an additional 351 shares during the period. Hedge funds and other institutional investors own 95.65% of the company's stock.

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.