Varonis Systems (NASDAQ:VRNS) Receives Equal Weight Rating from Morgan Stanley

Morgan Stanley reissued their equal weight rating on shares of Varonis Systems (NASDAQ:VRNS) in a research note issued to investors on Monday morning, MarketBeat reports. Morgan Stanley currently has a $41.00 target price on the technology company’s stock, down from their previous target price of $44.00.

Other research analysts have also issued research reports about the stock. Barclays cut their price objective on shares of Varonis Systems from $50.00 to $45.00 and set an “overweight” rating for the company in a research report on Monday, January 5th. Stephens started coverage on Varonis Systems in a research note on Tuesday, December 30th. They set an “equal weight” rating and a $40.00 price target on the stock. Needham & Company LLC cut their price target on Varonis Systems from $70.00 to $55.00 and set a “buy” rating for the company in a report on Wednesday, October 29th. Weiss Ratings reissued a “sell (d-)” rating on shares of Varonis Systems in a report on Wednesday, January 21st. Finally, Truist Financial restated a “buy” rating and set a $50.00 price objective (down from $70.00) on shares of Varonis Systems in a research report on Wednesday, October 29th. Fifteen equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Varonis Systems has a consensus rating of “Moderate Buy” and an average price target of $53.50.

Varonis Systems Stock Up 1.9%

Shares of VRNS stock opened at $35.63 on Monday. Varonis Systems has a 12 month low of $30.02 and a 12 month high of $63.90. The company has a quick ratio of 1.81, a current ratio of 1.81 and a debt-to-equity ratio of 0.75. The firm has a market cap of $4.20 billion, a PE ratio of -34.93 and a beta of 0.56. The stock has a 50 day moving average of $33.15 and a 200-day moving average of $46.60.

Varonis Systems (NASDAQ:VRNS) last announced its quarterly earnings data on Tuesday, October 28th. The technology company reported $0.06 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.06. The business had revenue of $161.58 million for the quarter, compared to the consensus estimate of $166.47 million. Varonis Systems had a negative net margin of 18.82% and a negative return on equity of 21.91%. Varonis Systems’s quarterly revenue was up 9.1% on a year-over-year basis. During the same quarter last year, the company posted $0.10 earnings per share. On average, equities analysts predict that Varonis Systems will post -0.83 EPS for the current year.

Institutional Trading of Varonis Systems

Several institutional investors have recently bought and sold shares of VRNS. Norges Bank acquired a new position in Varonis Systems during the second quarter worth $65,161,000. Clal Insurance Enterprises Holdings Ltd grew its holdings in shares of Varonis Systems by 166.7% in the 3rd quarter. Clal Insurance Enterprises Holdings Ltd now owns 1,360,000 shares of the technology company’s stock worth $78,159,000 after purchasing an additional 850,000 shares during the last quarter. Allspring Global Investments Holdings LLC grew its holdings in shares of Varonis Systems by 319.8% in the 2nd quarter. Allspring Global Investments Holdings LLC now owns 971,544 shares of the technology company’s stock worth $48,606,000 after purchasing an additional 740,114 shares during the last quarter. Atreides Management LP acquired a new stake in shares of Varonis Systems during the 3rd quarter worth about $37,839,000. Finally, AustralianSuper Pty Ltd bought a new position in Varonis Systems during the 2nd quarter valued at about $23,582,000. Institutional investors and hedge funds own 95.65% of the company’s stock.

Varonis Systems News Summary

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

• Positive Sentiment: JPMorgan cut its price target from $62 to $50 but kept an “overweight” rating, signaling the firm still sees material upside vs. the current price — this can support buyer interest. JPMorgan PT cut
• Positive Sentiment: Some market commentary still lists Varonis among favored tech names, reflecting pockets of analyst bullishness that can offset negative headlines. Analysts Are Bullish
• Neutral Sentiment: Morgan Stanley reaffirmed an “equal weight” rating with a $41 price target (slightly trimmed), a middling view that may limit large directional moves but provides a reference point for traders. Morgan Stanley rating
• Negative Sentiment: Industry note from Morgan Stanley warns that accelerating cloud migrations are increasing competitive pressure on smaller cybersecurity vendors — a structural concern for Varonis as customers shift toward cloud-native security models. Cloud migration pressure
• Negative Sentiment: Coverage questioning whether a troubled SaaS transition plus pending lawsuits will alter Varonis’s long‑term growth narrative — this raises execution and reputational risk that can weigh on the stock. SaaS transition and lawsuits
• Negative Sentiment: Multiple securities‑class‑action filings and investor‑alert notices (Berger Montague, Rosen, Faruqi & Faruqi) remind shareholders of a March 9, 2026 lead‑plaintiff deadline — increased legal risk and potential litigation costs are direct negatives for sentiment and valuation. Berger Montague alert Rosen Law Firm Faruqi & Faruqi

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.