William Blair Reduces Earnings Estimates for Varonis Systems

Varonis Systems, Inc. (NASDAQ:VRNS) – Equities researchers at William Blair dropped their FY2025 earnings per share estimates for Varonis Systems in a report released on Wednesday, October 29th. William Blair analyst J. Ader now forecasts that the technology company will post earnings per share of ($0.91) for the year, down from their prior estimate of ($0.90). The consensus estimate for Varonis Systems’ current full-year earnings is ($0.83) per share. William Blair also issued estimates for Varonis Systems’ Q4 2025 earnings at ($0.22) EPS and FY2026 earnings at ($0.77) EPS.

Varonis Systems (NASDAQ:VRNS) last released its earnings results on Tuesday, October 28th. The technology company reported $0.06 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.06. The firm had revenue of $161.58 million during the quarter, compared to analyst estimates of $166.47 million. Varonis Systems had a negative return on equity of 24.97% and a negative net margin of 18.82%.Varonis Systems’s revenue was up 9.1% compared to the same quarter last year. During the same period last year, the business posted $0.10 earnings per share. Varonis Systems has set its Q4 2025 guidance at 0.020-0.04 EPS.

A number of other analysts also recently issued reports on the company. Jefferies Financial Group raised Varonis Systems from a “hold” rating to a “buy” rating and lifted their price target for the stock from $50.00 to $65.00 in a report on Thursday, July 24th. Zacks Research downgraded Varonis Systems from a “hold” rating to a “strong sell” rating in a report on Monday, October 13th. Morgan Stanley lifted their price target on Varonis Systems from $59.00 to $66.00 and gave the stock an “overweight” rating in a report on Tuesday, September 2nd. Cantor Fitzgerald set a $60.00 target price on Varonis Systems and gave the company an “overweight” rating in a report on Wednesday. Finally, Truist Financial reissued a “buy” rating and issued a $50.00 target price (down from $70.00) on shares of Varonis Systems in a report on Wednesday, October 29th. Sixteen research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $60.74.

Varonis Systems Stock Up 0.7%

Shares of NASDAQ VRNS opened at $35.23 on Monday. The company has a market capitalization of $3.95 billion, a price-to-earnings ratio of -34.54 and a beta of 0.64. 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 business has a 50-day moving average of $57.68 and a two-hundred day moving average of $52.53. Varonis Systems has a 1 year low of $32.02 and a 1 year high of $63.90.

Hedge Funds Weigh In On Varonis Systems

Institutional investors have recently added to or reduced their stakes in the stock. Bessemer Group Inc. increased its position in Varonis Systems by 179.1% in the 2nd quarter. Bessemer Group Inc. now owns 494 shares of the technology company’s stock valued at $25,000 after acquiring an additional 317 shares during the period. First Horizon Corp acquired a new position in Varonis Systems during the 3rd quarter worth approximately $45,000. Farther Finance Advisors LLC increased its position in Varonis Systems by 1,062.6% during the 3rd quarter. Farther Finance Advisors LLC now owns 1,058 shares of the technology company’s stock worth $61,000 after purchasing an additional 967 shares during the period. Quarry LP increased its position in Varonis Systems by 31.8% during the 1st quarter. Quarry LP now owns 1,082 shares of the technology company’s stock worth $44,000 after purchasing an additional 261 shares during the period. Finally, EverSource Wealth Advisors LLC increased its position in Varonis Systems by 344.3% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,213 shares of the technology company’s stock worth $62,000 after purchasing an additional 940 shares during the period. Institutional investors and hedge funds own 95.65% of the company’s stock.

Insider Transactions at Varonis Systems

In related news, CFO Guy Melamed sold 42,705 shares of the business’s stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $57.72, for a total value of $2,464,932.60. Following the transaction, the chief financial officer owned 427,897 shares in the company, valued at $24,698,214.84. The trade was a 9.07% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. In the last 90 days, insiders sold 58,497 shares of company stock valued at $3,405,081. 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.