Varonis Systems’ (VRNS) Buy Rating Reaffirmed at Rosenblatt Securities

Varonis Systems (NASDAQ:VRNS)‘s stock had its “buy” rating reissued by analysts at Rosenblatt Securities in a research report issued on Wednesday,Benzinga reports. They presently have a $55.00 price target on the technology company’s stock. Rosenblatt Securities’ price objective would suggest a potential upside of 23.13% from the company’s current price.

Several other brokerages also recently commented on VRNS. Barclays upped their price objective on shares of Varonis Systems from $33.00 to $52.00 and gave the company an “overweight” rating in a research note on Monday, July 13th. Weiss Ratings raised Varonis Systems from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Tuesday, June 30th. Susquehanna increased their price objective on Varonis Systems from $30.00 to $36.00 and gave the stock a “positive” rating in a report on Wednesday, April 29th. TD Cowen lifted their price objective on Varonis Systems from $40.00 to $50.00 and gave the stock a “buy” rating in a research report on Monday, July 13th. Finally, Cantor Fitzgerald reissued an “overweight” rating and set a $55.00 target price (up from $35.00) on shares of Varonis Systems in a research note on Friday. Seventeen analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Varonis Systems has a consensus rating of “Moderate Buy” and a consensus target price of $46.63.

Varonis Systems Stock Down 4.3%

Shares of NASDAQ VRNS opened at $44.67 on Wednesday. The company has a quick ratio of 1.69, a current ratio of 1.69 and a debt-to-equity ratio of 1.00. Varonis Systems has a 52 week low of $19.70 and a 52 week high of $63.90. The firm’s fifty day moving average is $38.64 and its 200 day moving average is $30.56. The company has a market cap of $5.13 billion, a price-to-earnings ratio of -39.18 and a beta of 0.83.

Varonis Systems (NASDAQ:VRNS) last announced its quarterly earnings results on Tuesday, July 28th. The technology company reported $0.04 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.03. The business had revenue of $180.02 million during the quarter, compared to analysts’ expectations of $176.83 million. Varonis Systems had a negative net margin of 19.75% and a negative return on equity of 20.27%. The firm’s revenue for the quarter was up 18.3% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.03 EPS. Varonis Systems has set its FY 2026 guidance at 0.140-0.150 EPS and its Q3 2026 guidance at 0.020-0.030 EPS. On average, equities research analysts expect that Varonis Systems will post -1.05 earnings per share for the current year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. GAMMA Investing LLC lifted its stake in shares of Varonis Systems by 76.2% in the 2nd quarter. GAMMA Investing LLC now owns 2,408 shares of the technology company’s stock valued at $101,000 after purchasing an additional 1,041 shares during the period. Harbor Investment Advisory LLC bought a new stake in Varonis Systems during the second quarter worth about $71,000. Versant Capital Management Inc increased its stake in shares of Varonis Systems by 27.3% during the second quarter. Versant Capital Management Inc now owns 4,232 shares of the technology company’s stock valued at $178,000 after purchasing an additional 907 shares in the last quarter. Pacer Advisors Inc. boosted its position in shares of Varonis Systems by 26.2% in the 1st quarter. Pacer Advisors Inc. now owns 14,688 shares of the technology company’s stock worth $315,000 after purchasing an additional 3,051 shares in the last quarter. Finally, Parallel Advisors LLC increased its position in Varonis Systems by 1,025.4% during the 1st quarter. Parallel Advisors LLC now owns 3,320 shares of the technology company’s stock valued at $71,000 after buying an additional 3,025 shares in the last quarter. Hedge funds and other 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: JPMorgan raised its price target to $55 from $39 and maintained an Overweight rating, implying further upside from recent trading levels and signaling increased confidence in Varonis’ growth prospects. JPMorgan Chase & Co. Boosts Varonis Systems Price Target to $55.00
• Positive Sentiment: Q2 revenue rose 18.3% year over year to $180.0 million, exceeding the $176.8 million analyst estimate, while adjusted EPS of $0.04 topped the $0.01 consensus. EPS also improved from $0.03 in the year-ago quarter. Varonis Announces Second Quarter 2026 Financial Results
• Positive Sentiment: SaaS annual recurring revenue excluding conversions increased 25% year over year, while total SaaS ARR reached $726 million, up 52%. Management also cited growth in new logos and momentum in Atlas, Interceptor and Database Activity Monitoring.
• Positive Sentiment: Management’s Q3 and full-year 2026 forecasts exceeded consensus EPS expectations. Q3 EPS is projected at $0.02-$0.03 versus an anticipated loss of $0.04, while full-year EPS is forecast at $0.14-$0.15 versus consensus for a $0.11 loss. Full-year revenue guidance of $735 million-$739 million was broadly in line with estimates.
• Neutral Sentiment: The earnings call provided additional commentary on SaaS adoption, newer products and the company’s data- and AI-security strategy, but investors will likely look for sustained growth as Varonis continues its transition toward a SaaS model. Varonis Q2 2026 Earnings Call Transcript
• Negative Sentiment: The stock declined following the earnings release despite the beats, indicating that elevated investor expectations may have outweighed the strong quarterly figures and guidance. Varonis also remains unprofitable on a reported basis, with a negative net margin and return on equity.

About Varonis Systems

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.