Varonis Systems (NASDAQ:VRNS) Stock Price Expected to Rise, Wedbush Analyst Says

Varonis Systems (NASDAQ:VRNS) had its price target lifted by research analysts at Wedbush from $35.00 to $37.00 in a report issued on Wednesday,Benzinga reports. The firm currently has an “outperform” rating on the technology company’s stock. Wedbush’s price objective indicates a potential upside of 32.78% from the stock’s current price.

Other analysts have also recently issued research reports about the stock. Susquehanna raised their target price on shares of Varonis Systems from $30.00 to $36.00 and gave the stock a “positive” rating in a research note on Wednesday. Weiss Ratings reiterated a “sell (d-)” rating on shares of Varonis Systems in a research note on Wednesday, January 21st. Royal Bank Of Canada reduced their price objective on shares of Varonis Systems from $60.00 to $41.00 and set an “outperform” rating for the company in a research note on Monday, January 5th. Citigroup reduced their price objective on shares of Varonis Systems from $37.00 to $28.00 and set a “neutral” rating for the company in a research note on Wednesday, February 4th. Finally, Truist Financial reduced their price objective on shares of Varonis Systems from $42.00 to $34.00 and set a “buy” rating for the company in a research note on Wednesday, February 4th. Fifteen equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Varonis Systems currently has an average rating of “Moderate Buy” and an average price target of $41.84.

Varonis Systems Stock Performance

Shares of VRNS stock traded up $2.43 during mid-day trading on Wednesday, hitting $27.87. The stock had a trading volume of 3,099,903 shares, compared to its average volume of 2,956,626. Varonis Systems has a fifty-two week low of $19.70 and a fifty-two week high of $63.90. The firm has a market cap of $3.20 billion, a PE ratio of -24.35 and a beta of 0.68. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.97 and a quick ratio of 1.97. The company’s 50-day simple moving average is $23.32 and its 200-day simple moving average is $31.54.

Varonis Systems (NASDAQ:VRNS) last released its earnings results on Tuesday, April 28th. The technology company reported $0.06 EPS for the quarter, topping the consensus estimate of ($0.05) by $0.11. Varonis Systems had a negative net margin of 20.74% and a negative return on equity of 22.95%. The company had revenue of $173.13 million during the quarter, compared to analysts’ expectations of $165.52 million. The company’s revenue for the quarter was up 26.9% compared to the same quarter last year. 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. Sell-side analysts anticipate that Varonis Systems will post -0.99 earnings per share for the current year.

Insider Buying and Selling at Varonis Systems

In other Varonis Systems news, EVP David Bass bought 2,980 shares of the company’s stock in a transaction on Monday, February 9th. The stock was purchased at an average cost of $23.47 per share, for a total transaction of $69,940.60. Following the acquisition, the executive vice president owned 1,042,924 shares of the company’s stock, valued at $24,477,426.28. The trade was a 0.29% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director John J. Gavin, Jr. bought 5,000 shares of the company’s stock in a transaction on Friday, February 6th. The shares were acquired at an average price of $22.54 per share, with a total value of $112,700.00. Following the completion of the acquisition, the director directly owned 273,666 shares in the company, valued at $6,168,431.64. This represents a 1.86% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. In the last three months, insiders acquired 25,780 shares of company stock worth $579,403. 2.30% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Varonis Systems

Hedge funds and other institutional investors have recently modified their holdings of the company. Hodges Capital Management Inc. grew its holdings in shares of Varonis Systems by 146.3% during the third quarter. Hodges Capital Management Inc. now owns 126,450 shares of the technology company’s stock worth $7,267,000 after buying an additional 75,120 shares in the last quarter. Readystate Asset Management LP purchased a new stake in Varonis Systems in the third quarter valued at approximately $13,731,000. Allspring Global Investments Holdings LLC grew its holdings in Varonis Systems by 69.5% in the third quarter. Allspring Global Investments Holdings LLC now owns 1,646,351 shares of the technology company’s stock valued at $95,192,000 after purchasing an additional 674,807 shares during the period. AustralianSuper Pty Ltd grew its holdings in Varonis Systems by 29.6% in the third quarter. AustralianSuper Pty Ltd now owns 602,379 shares of the technology company’s stock valued at $34,619,000 after purchasing an additional 137,713 shares during the period. Finally, Ion Asset Management Ltd. purchased a new stake in Varonis Systems in the third quarter valued at approximately $5,172,000. 95.65% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about Varonis Systems

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

• Positive Sentiment: Q1 beats — Varonis reported Q1 revenue of $173.1M (+26.9% YoY) and EPS of $0.06, beating consensus revenue and EPS estimates; management emphasized SaaS growth. Press Release
• Positive Sentiment: Raised guidance — Varonis updated Q2 EPS guidance to $0.00–$0.01 (vs. consensus -$0.04) and FY2026 EPS to $0.110–$0.120 (vs. consensus -$0.13); revenue outlook also topped Street expectations, signaling improved profitability trajectory. Earnings Release
• Positive Sentiment: SaaS ARR acceleration — Management signaled full-year total SaaS ARR of $814M–$845M (up materially vs. prior expectations) and disclosed total SaaS ARR of $683.2M; the company also launched Varonis Atlas after the AllTrue.ai acquisition, highlighting AI-driven product expansion. Seeking Alpha
• Positive Sentiment: Analyst upgrades and price-target raises — Multiple firms lifted targets and ratings after the print: Susquehanna to $36 (positive), Needham to $36 (buy) and Stephens to $33 (equal weight), reflecting renewed analyst confidence in growth and margin improvement. Analyst Notes
• Neutral Sentiment: Conference call and transcript available — The company provided detailed commentary in its Q1 call and slide deck for investors to assess ARR comps, cloud conversion cadence and margin path. Call Slides
• Negative Sentiment: Profitability still a concern — Despite beats, Varonis reports negative net margin (~-20.7%) and negative ROE (~-22.9%); analysts still project a negative full-year EPS on average, so sustained profitability is not yet proven. Zacks

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.