Varonis Systems (NASDAQ:VRNS) Given New $25.00 Price Target at DA Davidson

Varonis Systems (NASDAQ:VRNS) had its price objective reduced by DA Davidson from $40.00 to $25.00 in a research report sent to investors on Wednesday morning,Benzinga reports. They currently have a neutral rating on the technology company’s stock.

Several other equities analysts have also recently issued reports on VRNS. Truist Financial lowered their target price on shares of Varonis Systems from $42.00 to $34.00 and set a “buy” rating on the stock in a research note on Wednesday. B. Riley lowered their price objective on shares of Varonis Systems from $58.00 to $45.00 and set a “buy” rating on the stock in a research report on Wednesday. Morgan Stanley restated an “equal weight” rating and issued a $41.00 target price (down previously from $44.00) on shares of Varonis Systems in a report on Monday, January 26th. UBS Group set a $50.00 target price on shares of Varonis Systems in a research note on Monday, January 26th. Finally, Royal Bank Of Canada lowered their target price on Varonis Systems from $60.00 to $41.00 and set an “outperform” rating on the stock in a report on Monday, January 5th. Fifteen equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Varonis Systems currently has a consensus rating of “Moderate Buy” and an average target price of $45.00.

Varonis Systems Price Performance

Shares of VRNS opened at $23.67 on Wednesday. The company has a market capitalization of $2.79 billion, a P/E ratio of -20.76 and a beta of 0.58. Varonis Systems has a twelve month low of $20.06 and a twelve 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 50 day moving average of $32.82 and a 200 day moving average of $45.61.

Varonis Systems (NASDAQ:VRNS) last posted its earnings results on Tuesday, February 3rd. The technology company reported $0.08 EPS for the quarter, topping analysts’ consensus estimates of $0.03 by $0.05. The business had revenue of $173.37 million during the quarter, compared to analyst estimates of $168.66 million. Varonis Systems had a negative return on equity of 25.05% and a negative net margin of 20.74%.The company’s quarterly revenue was up 9.4% compared to the same quarter last year. During the same quarter last year, the company earned $0.18 EPS. Varonis Systems has set its FY 2026 guidance at 0.060-0.100 EPS and its Q1 2026 guidance at -0.060–0.050 EPS. As a group, equities research analysts anticipate that Varonis Systems will post -0.83 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Varonis Systems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in VRNS. Bessemer Group Inc. boosted its position in shares of Varonis Systems by 179.1% in the second quarter. Bessemer Group Inc. now owns 494 shares of the technology company’s stock worth $25,000 after purchasing an additional 317 shares during the period. Allworth Financial LP lifted its stake in shares of Varonis Systems by 201.3% during the 3rd quarter. Allworth Financial LP now owns 693 shares of the technology company’s stock valued at $40,000 after buying an additional 463 shares in the last quarter. Neo Ivy Capital Management purchased a new position in shares of Varonis Systems during the 3rd quarter valued at $42,000. First Horizon Corp bought a new position in Varonis Systems in the 3rd quarter worth $45,000. Finally, Westside Investment Management Inc. increased its stake in Varonis Systems by 100.0% in the 3rd quarter. Westside Investment Management Inc. now owns 844 shares of the technology company’s stock worth $49,000 after buying an additional 422 shares in the last quarter. Institutional investors 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: Q4 results beat — Varonis reported Q4 revenue of $173.4M and GAAP EPS $0.08 vs. consensus ~$0.03; SaaS ARR momentum and ARR growth were highlighted in the release, supporting longer-term subscription expansion. Q4 Results
• Positive Sentiment: Forward guidance surprised to the upside — FY‑2026 EPS guide was raised to $0.06–$0.10 (street had expected negative EPS) and revenue guidance of $722M–$730M implies continued growth tailwinds from SaaS and cloud adoption. (See company release above and earnings coverage.)
• Positive Sentiment: Strategic M&A — Varonis agreed to acquire AllTrue.ai (AI TRiSM) in a deal reported at ~$150M, bolstering its AI/security product set and positioning it to monetize AI-related security demand. Acquisition Coverage
• Neutral Sentiment: Analyst reactions mixed — multiple firms cut price targets (examples: B. Riley, JPMorgan, Cantor, Citi, Wedbush, Needham) but several kept buy/overweight stances; the revisions reflect shorter-term margin and transition risk rather than uniform downgrades. Analyst Notes
• Negative Sentiment: Heightened legal risk — multiple plaintiff firms (Kessler Topaz, Rosen, Levi & Korsinsky, Hagens Berman, Pomerantz, others) have filed or issued alerts for a securities‑class action alleging misleading statements about the SaaS transition; the lead-plaintiff deadline is March 9, 2026, increasing headline risk and potential settlement overhang. Kessler Topaz Alert
• Negative Sentiment: Bearish derivatives flow and selling pressure — unusually large put buying (4,051 puts, +206% vs. average) and heavy equity volume indicate traders are hedging or betting on further downside after the print.

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.