Wedbush Estimates Varonis Systems' Q3 Earnings (NASDAQ:VRNS)

Key Points

• Wedbush has lowered its Q3 2025 earnings per share (EPS) estimate for Varonis Systems from ($0.18) to ($0.21), while maintaining an "Outperform" rating and a price target of $65.00.
• Other analysts have raised their price targets on Varonis Systems, with Wells Fargo increasing theirs from $51.00 to $70.00, indicating strong buy sentiment among brokerages.
• Despite recent insider sales, institutional investors hold 95.65% of Varonis Systems' stock, reflecting significant confidence in the company's future performance.

Varonis Systems, Inc. (NASDAQ:VRNS - Free Report) - Equities researchers at Wedbush reduced their Q3 2025 EPS estimates for shares of Varonis Systems in a research note issued on Wednesday, September 3rd. Wedbush analyst D. Ives now forecasts that the technology company will post earnings of ($0.21) per share for the quarter, down from their previous forecast of ($0.18). Wedbush has a "Outperform" rating and a $65.00 price objective on the stock. The consensus estimate for Varonis Systems' current full-year earnings is ($0.83) per share. Wedbush also issued estimates for Varonis Systems' 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.

Varonis Systems (NASDAQ:VRNS - Get Free Report) last released its quarterly earnings data 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. Varonis Systems had a negative net margin of 17.30% and a negative return on equity of 23.06%. The company had revenue of $152.16 million for the quarter, compared to analysts' expectations of $147.80 million. During the same quarter last year, the company earned $0.05 earnings per share. The firm's revenue for the quarter was up 16.7% on a year-over-year basis. Varonis Systems has set its FY 2025 guidance at 0.160-0.180 EPS. Q3 2025 guidance at 0.070-0.080 EPS.

VRNS has been the subject of several other research reports. Barclays upped their target price on shares of Varonis Systems from $60.00 to $62.00 and gave the company an "overweight" rating in a report on Wednesday, July 30th. Needham & Company LLC restated a "buy" rating and issued a $70.00 price objective on shares of Varonis Systems in a research note on Wednesday, September 3rd. UBS Group lifted their price objective on shares of Varonis Systems from $60.00 to $65.00 and gave the company a "buy" rating in a research note on Wednesday, July 30th. Citigroup lifted their price objective on shares of Varonis Systems from $51.00 to $58.00 and gave the company a "neutral" rating in a research note on Monday, August 18th. Finally, Jefferies Financial Group upgraded shares of Varonis Systems from a "hold" rating to a "buy" rating and lifted their price objective for the company from $50.00 to $65.00 in a research note on Thursday, July 24th. Fourteen research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $61.65.

Varonis Systems Stock Down 1.7%

Shares of Varonis Systems stock traded down $0.98 during trading hours on Friday, hitting $56.38. The company had a trading volume of 239,781 shares, compared to its average volume of 1,542,035. The company's 50-day moving average is $54.88 and its two-hundred day moving average is $47.96. Varonis Systems has a twelve month low of $36.53 and a twelve month high of $60.58. The company has a debt-to-equity ratio of 1.32, a current ratio of 1.38 and a quick ratio of 1.38. The company has a market cap of $6.32 billion, a P/E ratio of -61.33 and a beta of 0.67.

Institutional Trading of Varonis Systems

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Osaic Holdings Inc. increased its position in Varonis Systems by 10.5% during the 2nd quarter. Osaic Holdings Inc. now owns 4,647 shares of the technology company's stock worth $234,000 after purchasing an additional 440 shares in the last quarter. State of Wyoming grew its holdings in Varonis Systems by 1,516.5% in the 2nd quarter. State of Wyoming now owns 13,546 shares of the technology company's stock valued at $687,000 after buying an additional 12,708 shares during the period. Castleark Management LLC purchased a new stake in Varonis Systems in the 2nd quarter valued at about $4,359,000. CANADA LIFE ASSURANCE Co grew its holdings in Varonis Systems by 3.4% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 209,656 shares of the technology company's stock valued at $10,633,000 after buying an additional 6,841 shares during the period. Finally, Tower Research Capital LLC TRC grew its holdings in Varonis Systems by 449.6% in the 2nd quarter. Tower Research Capital LLC TRC now owns 16,081 shares of the technology company's stock valued at $816,000 after buying an additional 13,155 shares during the period. Hedge funds and other institutional investors own 95.65% of the company's stock.

Insider Buying and Selling at Varonis Systems

In other Varonis Systems news, CFO Guy Melamed sold 1,500 shares of the business's stock in a transaction on Friday, August 29th. The shares were sold at an average price of $59.59, for a total transaction of $89,385.00. Following the sale, the chief financial officer directly owned 412,105 shares in the company, valued at approximately $24,557,336.95. The trade was a 0.36% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. 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 sale, the director owned 128,666 shares in the company, valued at $7,086,923.28. The trade was a 2.28% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 113,386 shares of company stock worth $6,429,405 over the last 90 days. Insiders own 2.30% 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.