Varonis Systems (NASDAQ:VRNS) Upgraded at DA Davidson

DA Davidson upgraded shares of Varonis Systems (NASDAQ:VRNS) from a neutral rating to a buy rating in a research note published on Thursday morning, MarketBeat.com reports. The firm currently has $30.00 target price on the technology company’s stock, up from their previous target price of $25.00.

VRNS has been the subject of a number of other research reports. Royal Bank Of Canada reduced their price objective on Varonis Systems from $60.00 to $41.00 and set an “outperform” rating for the company in a report on Monday, January 5th. Piper Sandler raised Varonis Systems from a “neutral” rating to an “overweight” rating and lifted their price target for the stock from $45.00 to $47.00 in a report on Monday, January 5th. Needham & Company LLC decreased their price objective on Varonis Systems from $55.00 to $30.00 and set a “buy” rating on the stock in a report on Wednesday. Zacks Research upgraded Varonis Systems from a “strong sell” rating to a “hold” rating in a research report on Tuesday, November 11th. Finally, Stephens assumed coverage on shares of Varonis Systems in a research report on Tuesday, December 30th. They issued an “equal weight” rating and a $40.00 target price for the company. Seventeen research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Varonis Systems currently has a consensus rating of “Moderate Buy” and an average target price of $45.24.

Varonis Systems Stock Up 2.0%

VRNS opened at $22.65 on Thursday. The stock’s fifty day simple moving average is $32.41 and its 200 day simple moving average is $45.20. Varonis Systems has a 1-year low of $20.06 and a 1-year high of $63.90. The stock has a market cap of $2.66 billion, a PE ratio of -19.87 and a beta of 0.58. The company has a current ratio of 1.97, a quick ratio of 1.81 and a debt-to-equity ratio of 0.76.

Varonis Systems (NASDAQ:VRNS) last released its quarterly earnings data on Tuesday, February 3rd. The technology company reported $0.08 EPS for the quarter, beating the consensus estimate of $0.03 by $0.05. The firm had revenue of $173.37 million for the quarter, compared to the consensus estimate 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 quarterly revenue was up 9.4% on a year-over-year basis. During the same period in the previous year, the company earned $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 expect that Varonis Systems will post -0.83 earnings per share for the current year.

Institutional Trading of Varonis Systems

Several large investors have recently bought and sold shares of the business. Bessemer Group Inc. raised its stake in Varonis Systems by 179.1% during 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 in the last quarter. Signaturefd LLC increased its position in Varonis Systems by 47.8% during the 4th quarter. Signaturefd LLC now owns 995 shares of the technology company’s stock worth $33,000 after purchasing an additional 322 shares in the last quarter. Allworth Financial LP increased its position in Varonis Systems by 201.3% during 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 in the last quarter. Neo Ivy Capital Management bought a new position in Varonis Systems in the 3rd quarter valued at approximately $42,000. Finally, First Horizon Corp acquired a new stake in Varonis Systems in the third quarter valued at approximately $45,000. 95.65% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Varonis Systems

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

• Positive Sentiment: DA Davidson upgraded Varonis from “neutral” to “buy” and raised its price target to $30, giving the stock an analyst-backed boost. DA Davidson upgrade
• Positive Sentiment: An industry-themed note says Varonis aligns with Nasdaq‑100 cybersecurity themes, which can attract thematic/ETF flows and investor interest in security software names. Varonis aligns with Nasdaq‑100 cybersecurity themes
• Neutral Sentiment: Market activity shows unusually large options volume for VRNS, which often signals short‑term speculation or hedging that can increase intraday volatility but not necessarily change fundamentals. Unusually large options volume
• Neutral Sentiment: Some outlets report new analyst targets around the mid‑$30s (e.g., $34.20 reported), showing mixed analyst views after recent results. These disparate targets can produce short-term trading moves as investors digest the consensus. Analyst price target reporting
• Negative Sentiment: Multiple law firms have filed or are soliciting clients for a securities class action against Varonis (alleging misleading statements about its SaaS transition). Widespread plaintiff‑firm notices and a filed class action increase legal risk, potential costs, and investor uncertainty. Bronstein Gewirtz Grossman class action
• Negative Sentiment: Several sell‑side firms cut price targets (Cantor Fitzgerald, JPMorgan, Truist, Wedbush, Citi and others lowered targets in recent notes), signaling reduced near‑term optimism about growth/transition dynamics and likely applying downward pressure on the stock. Analyst price target cuts roundup
• Negative Sentiment: Coverage of the post‑earnings selloff highlights that, while Varonis beat the quarter, aspects of the report (and guidance/discussion around the SaaS transition) worried investors and contributed to a sharp drawdown. That earnings reaction remains a key driver of current sentiment. Post‑earnings selloff analysis

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.