Varonis Systems (NASDAQ:VRNS) Given New $36.00 Price Target at Needham & Company LLC

Varonis Systems (NASDAQ:VRNS) had its price target boosted by research analysts at Needham & Company LLC from $30.00 to $36.00 in a research report issued on Wednesday,Benzinga reports. The brokerage currently has a “buy” rating on the technology company’s stock. Needham & Company LLC’s price objective would indicate a potential upside of 41.51% from the stock’s current price.

Several other research analysts also recently issued reports on the company. B. Riley Financial reduced their price objective on Varonis Systems from $58.00 to $45.00 and set a “buy” rating on the stock in a report on Wednesday, February 4th. Morgan Stanley reaffirmed an “equal weight” rating and set a $41.00 price objective (down from $44.00) on shares of Varonis Systems in a report on Monday, January 26th. Truist Financial reduced their price objective on Varonis Systems from $42.00 to $34.00 and set a “buy” rating on the stock in a report on Wednesday, February 4th. Royal Bank Of Canada dropped their target price on shares of Varonis Systems from $60.00 to $41.00 and set an “outperform” rating for the company in a research report on Monday, January 5th. Finally, Wedbush dropped their target price on shares of Varonis Systems from $53.00 to $35.00 and set an “outperform” rating for the company in a research report on Wednesday, February 4th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $42.21.

Varonis Systems Stock Up 1.6%

NASDAQ:VRNS opened at $25.44 on Wednesday. The stock’s fifty day moving average price is $23.32 and its two-hundred day moving average price is $31.54. Varonis Systems has a 52-week low of $19.70 and a 52-week high of $63.90. The company has a debt-to-equity ratio of 0.76, a quick ratio of 1.97 and a current ratio of 1.97. The company has a market cap of $2.92 billion, a price-to-earnings ratio of -22.32 and a beta of 0.68.

Varonis Systems (NASDAQ:VRNS) last posted its quarterly earnings data on Tuesday, April 28th. The technology company reported $0.06 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.05) by $0.11. Varonis Systems had a negative return on equity of 22.95% and a negative net margin of 20.74%.The firm had revenue of $173.13 million for the quarter, compared to the consensus estimate of $165.52 million. The company’s quarterly revenue was up 26.9% on a year-over-year basis. Varonis Systems has set its FY 2026 guidance at 0.110-0.120 EPS and its Q2 2026 guidance at 0.000-0.010 EPS. On average, analysts anticipate that Varonis Systems will post -0.99 EPS for the current year.

Insider Buying and Selling

In other Varonis Systems news, Director Avrohom J. Kess acquired 17,800 shares of the company’s stock in a transaction that occurred on Friday, February 6th. The shares were acquired at an average price of $22.29 per share, with a total value of $396,762.00. Following the purchase, the director owned 49,403 shares of the company’s stock, valued at $1,101,192.87. This represents a 56.32% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP David Bass acquired 2,980 shares of the company’s stock in a transaction that occurred on Monday, February 9th. The shares were acquired at an average cost of $23.47 per share, for a total transaction of $69,940.60. Following the purchase, the executive vice president directly owned 1,042,924 shares in the company, valued at $24,477,426.28. This trade represents a 0.29% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. In the last quarter, insiders have acquired 25,780 shares of company stock valued at $579,403. 2.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Varonis Systems

A number of large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its holdings in Varonis Systems by 6.5% during the 4th quarter. Vanguard Group Inc. now owns 13,418,273 shares of the technology company’s stock worth $440,119,000 after purchasing an additional 822,925 shares in the last quarter. First Trust Advisors LP increased its holdings in Varonis Systems by 40.6% during the 4th quarter. First Trust Advisors LP now owns 4,427,245 shares of the technology company’s stock worth $145,214,000 after purchasing an additional 1,279,002 shares in the last quarter. RGM Capital LLC increased its holdings in Varonis Systems by 17.1% during the 4th quarter. RGM Capital LLC now owns 3,160,093 shares of the technology company’s stock worth $103,651,000 after purchasing an additional 460,580 shares in the last quarter. Pictet Asset Management Holding SA increased its holdings in Varonis Systems by 43.4% during the 1st quarter. Pictet Asset Management Holding SA now owns 3,123,056 shares of the technology company’s stock worth $67,029,000 after purchasing an additional 944,676 shares in the last quarter. Finally, Geode Capital Management LLC increased its holdings in Varonis Systems by 5.7% during the 4th quarter. Geode Capital Management LLC now owns 2,833,180 shares of the technology company’s stock worth $92,943,000 after purchasing an additional 151,961 shares in the last quarter. Institutional investors own 95.65% of the company’s stock.

Key Varonis Systems News

Here are the key news stories impacting Varonis Systems this week:

• Positive Sentiment: Q1 EPS and revenue topped estimates: Varonis reported $0.06 EPS versus a consensus loss and revenue of $173.1M above Street estimates, signaling stronger demand and better-than-expected operating leverage for the quarter. Varonis Systems (VRNS) Q1 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management raised guidance materially above consensus: Varonis set Q2 EPS guidance of $0.00–$0.01 (vs. consensus -$0.04) and FY26 EPS of $0.110–$0.120 (vs. consensus -$0.13), and raised revenue targets — a clear signal of improving profitability trajectory and confidence in growth. Varonis Announces First Quarter 2026 Financial Results
• Positive Sentiment: Strong SaaS ARR expansion and product momentum: Total SaaS ARR $683.2M (up 69% YoY) and SaaS ARR excluding conversions up 29% YoY; company launched Varonis Atlas (AI capability via AllTrue.ai acquisition) — supports recurring revenue durability and potential upsell/cross-sell. Varonis Announces First Quarter 2026 Financial Results
• Neutral Sentiment: Earnings call transcript highlights execution details: Management discussed ARR dynamics, product adoption and integration of AI capabilities — useful for gauging sustainability of revenue growth but requires follow-up on sales efficiency and churn metrics. Varonis Systems, Inc. (VRNS) Q1 2026 Earnings Call Transcript
• Neutral Sentiment: Analyst previews and metric comparisons: Coverage (Zacks/TipRanks/Yahoo) frames the quarter versus expectations and may drive short-term analyst reactions and re-ratings; watch revisions to estimates and model assumptions. Varonis (VRNS) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates
• Negative Sentiment: Profitability remains a concern: Despite revenue and ARR growth, Varonis still shows a negative net margin (~-20.7%) and negative ROE, leaving execution and path-to-consistent profitability as key risks that could cap valuation until sustained positive margins appear. Varonis Q1 Results and Metrics

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.