DA Davidson Issues Pessimistic Forecast for Varonis Systems (NASDAQ:VRNS) Stock Price

Varonis Systems (NASDAQ:VRNS) had its price objective reduced by investment analysts at DA Davidson from $55.00 to $40.00 in a report released on Wednesday,Benzinga reports. The brokerage presently has a “neutral” rating on the technology company’s stock. DA Davidson’s price target indicates a potential upside of 14.29% from the stock’s previous close. DA Davidson also issued estimates for Varonis Systems’ Q4 2025 earnings at ($0.24) EPS.

A number of other research firms also recently commented on VRNS. Robert W. Baird boosted their price target on shares of Varonis Systems from $58.00 to $63.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 30th. Barclays boosted their price target on shares of Varonis Systems from $62.00 to $70.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 14th. Wedbush restated an “outperform” rating and set a $65.00 price target on shares of Varonis Systems in a research report on Wednesday, September 3rd. Needham & Company LLC dropped their target price on shares of Varonis Systems from $70.00 to $55.00 and set a “buy” rating on the stock in a report on Wednesday. Finally, Royal Bank Of Canada dropped their target price on shares of Varonis Systems from $72.00 to $60.00 and set an “outperform” rating on the stock in a report on Wednesday. Sixteen equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $60.74.

Varonis Systems Stock Up 8.2%

VRNS stock opened at $35.00 on Wednesday. Varonis Systems has a 52 week low of $32.02 and a 52 week high of $63.90. The company has a market capitalization of $3.92 billion, a price-to-earnings ratio of -34.31 and a beta of 0.64. The firm’s 50-day moving average is $58.16 and its two-hundred day moving average is $52.42. The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 1.32.

Varonis Systems (NASDAQ:VRNS) last released its quarterly earnings results on Tuesday, October 28th. The technology company reported $0.06 EPS for the quarter, hitting analysts’ consensus estimates of $0.06. Varonis Systems had a negative net margin of 18.82% and a negative return on equity of 24.97%. The company had revenue of $161.58 million for the quarter, compared to the consensus estimate of $166.47 million. During the same period in the previous year, the firm earned $0.10 EPS. Varonis Systems’s revenue was up 9.1% on a year-over-year basis. Varonis Systems has set its Q4 2025 guidance at 0.020-0.04 EPS. On average, analysts forecast that Varonis Systems will post -0.83 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Guy Melamed sold 1,500 shares of the business’s stock in a transaction that occurred 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 owned 412,105 shares in the company, valued at $24,557,336.95. The trade was a 0.36% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders have sold a total of 58,497 shares of company stock worth $3,405,081 in the last quarter. 2.30% of the stock is owned by insiders.

Institutional Investors Weigh In On Varonis Systems

A number of large investors have recently made changes to their positions in VRNS. Norges Bank acquired a new stake in shares of Varonis Systems during the second quarter valued at approximately $65,161,000. Voya Investment Management LLC raised its holdings in shares of Varonis Systems by 98.6% during the first quarter. Voya Investment Management LLC now owns 2,321,317 shares of the technology company’s stock valued at $93,897,000 after acquiring an additional 1,152,687 shares during the period. Goldman Sachs Group Inc. raised its holdings in shares of Varonis Systems by 26.2% during the first quarter. Goldman Sachs Group Inc. now owns 4,084,830 shares of the technology company’s stock valued at $165,231,000 after acquiring an additional 848,408 shares during the period. RGM Capital LLC raised its holdings in shares of Varonis Systems by 45.5% during the first quarter. RGM Capital LLC now owns 2,706,531 shares of the technology company’s stock valued at $109,479,000 after acquiring an additional 846,475 shares during the period. Finally, Allspring Global Investments Holdings LLC raised its holdings in shares of Varonis Systems by 319.8% during the second quarter. Allspring Global Investments Holdings LLC now owns 971,544 shares of the technology company’s stock valued at $48,606,000 after acquiring an additional 740,114 shares during the period. Institutional investors and hedge funds 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.