Varonis Systems (NASDAQ:VRNS) Coverage Initiated by Analysts at Wells Fargo & Company

Wells Fargo & Company assumed coverage on shares of Varonis Systems (NASDAQ:VRNS) in a research report released on Tuesday, Marketbeat reports. The firm issued an overweight rating and a $28.00 price target on the technology company’s stock.

Other equities research analysts have also issued research reports about the company. Needham & Company LLC cut their price target on Varonis Systems from $55.00 to $30.00 and set a “buy” rating for the company in a research note on Wednesday, February 4th. Royal Bank Of Canada cut their target price on Varonis Systems from $60.00 to $41.00 and set an “outperform” rating for the company in a research report on Monday, January 5th. Cantor Fitzgerald decreased their target price on Varonis Systems from $50.00 to $35.00 and set an “overweight” rating on the stock in a research note on Wednesday, February 4th. Weiss Ratings restated a “sell (d-)” rating on shares of Varonis Systems in a research note on Wednesday, January 21st. Finally, Citigroup reduced their price objective on shares of Varonis Systems from $37.00 to $28.00 and set a “neutral” rating on the stock in a research report on Wednesday, February 4th. Sixteen investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $43.15.

Varonis Systems Price Performance

NASDAQ VRNS opened at $23.55 on Tuesday. The company has a current ratio of 1.97, a quick ratio of 1.97 and a debt-to-equity ratio of 0.76. Varonis Systems has a 12 month low of $20.06 and a 12 month high of $63.90. The stock has a market cap of $2.77 billion, a price-to-earnings ratio of -20.66 and a beta of 0.61. The company’s 50 day moving average is $29.57 and its two-hundred day moving average is $41.42.

Varonis Systems (NASDAQ:VRNS) last posted its quarterly earnings results on Tuesday, February 3rd. The technology company reported $0.08 earnings per share 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 net margin of 20.74% and a negative return on equity of 22.95%. The company’s revenue was up 9.4% on a year-over-year basis. During the same period in the prior year, the business posted $0.18 earnings per share. 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, research analysts anticipate that Varonis Systems will post -0.83 earnings per share for the current year.

Insiders Place Their Bets

In other Varonis Systems news, EVP David Bass bought 2,980 shares of the business’s stock in a transaction that occurred on Monday, February 9th. The stock was purchased at an average cost of $23.47 per share, with a total value of $69,940.60. Following the completion of the acquisition, the executive vice president owned 1,042,924 shares in the company, valued at $24,477,426.28. This trade represents a 0.29% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Avrohom J. Kess purchased 17,800 shares of Varonis Systems stock in a transaction that occurred on Friday, February 6th. The stock was acquired at an average price of $22.29 per share, for a total transaction of $396,762.00. Following the transaction, the director directly owned 49,403 shares of the company’s stock, valued at $1,101,192.87. The trade was a 56.32% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have bought a total of 25,780 shares of company stock valued at $579,403 in the last quarter. 2.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Varonis Systems

A number of institutional investors and hedge funds have recently made changes to their positions in VRNS. Bessemer Group Inc. lifted its stake in 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 acquiring an additional 317 shares during the period. Signaturefd LLC raised its holdings in shares of Varonis Systems by 47.8% in the 4th quarter. Signaturefd LLC now owns 995 shares of the technology company’s stock valued at $33,000 after purchasing an additional 322 shares in the last quarter. Empowered Funds LLC bought a new stake in shares of Varonis Systems in the 4th quarter valued at about $37,000. Allworth Financial LP lifted its position in shares of Varonis Systems by 201.3% in the 3rd quarter. Allworth Financial LP now owns 693 shares of the technology company’s stock worth $40,000 after purchasing an additional 463 shares during the period. Finally, Neo Ivy Capital Management bought a new position in shares of Varonis Systems during the third quarter valued at approximately $42,000. 95.65% of the stock is owned by hedge funds and other institutional investors.

More Varonis Systems News

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

• Positive Sentiment: Wells Fargo initiated coverage on VRNS with an “overweight” rating and a $28 price target, which supports near-term upside sentiment and likely helped push the stock higher. Article Title
• Negative Sentiment: Hagens Berman announced an investigation and highlighted allegations that Varonis may have concealed renewal softness in its Federal vertical and legacy on‑premises business while promoting a de‑risked SaaS transition — a substantive allegation that could increase litigation risk and investor uncertainty. Article Title
• Negative Sentiment: Multiple plaintiff law firms (Rosen, Pomerantz, Bronstein Gewirtz & Grossman, Berger Montague, Faruqi & Faruqi, The Gross Law Firm, Schall, DJS, RGRD and others) have filed notices or solicitations seeking lead plaintiffs in a class action covering purchases between Feb 4, 2025 and Oct 28, 2025; the important lead‑plaintiff deadline is March 9, 2026 — a crowded litigation docket that can keep downward pressure on sentiment and increase potential future legal costs. Article Title

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.