Varonis Systems (NASDAQ:VRNS) Stock Rating Reaffirmed as Neutral by Rosenblatt Securities

Varonis Systems (NASDAQ:VRNS)‘s stock had its “neutral” rating reiterated by equities research analysts at Rosenblatt Securities in a research note issued to investors on Friday, Benzinga reports. They presently have a $49.75 price objective on the technology company’s stock, down from their previous price objective of $55.00. Rosenblatt Securities’ price objective points to a potential upside of 5.09% from the company’s previous close.

Other research analysts have also issued research reports about the company. Wells Fargo & Company upped their price objective on Varonis Systems from $48.00 to $53.00 and gave the stock an “overweight” rating in a report on Thursday. Truist Financial increased their price objective on Varonis Systems from $34.00 to $52.00 and gave the stock a “buy” rating in a research report on Tuesday, July 21st. Stephens raised Varonis Systems from an “equal weight” rating to an “overweight” rating and raised their target price for the company from $33.00 to $45.00 in a report on Wednesday, June 24th. Royal Bank Of Canada lowered shares of Varonis Systems from an “outperform” rating to a “neutral” rating in a research report on Friday. Finally, Weiss Ratings lowered shares of Varonis Systems from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Friday, October 9th. Thirteen investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Varonis Systems presently has a consensus rating of “Moderate Buy” and an average price target of $50.55.

Varonis Systems Stock Performance

NASDAQ VRNS opened at $47.34 on Friday. The company has a current ratio of 1.65, a quick ratio of 1.65 and a debt-to-equity ratio of 1.02. The business’s 50 day moving average is $45.71 and its two-hundred day moving average is $37.89. Varonis Systems has a 12-month low of $19.70 and a 12-month high of $63.80. The stock has a market capitalization of $5.44 billion, a price-to-earnings ratio of -38.49 and a beta of 0.77.

Varonis Systems (NASDAQ:VRNS) last issued its earnings results on Tuesday, July 28th. The technology company reported $0.04 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.01 by $0.03. The business had revenue of $180.02 million during the quarter, compared to the consensus estimate of $176.83 million. Varonis Systems had a negative return on equity of 19.18% and a negative net margin of 20.55%. The company’s revenue for the quarter was up 18.3% on a year-over-year basis. During the same period in the prior year, the business posted $0.03 EPS. Varonis Systems has set its FY 2026 guidance at 0.140-0.150 EPS and its Q3 2026 guidance at 0.020-0.030 EPS. Research analysts expect that Varonis Systems will post -0.95 EPS for the current year.

Institutional Investors Weigh In On Varonis Systems

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Pictet Asset Management Holding SA boosted its stake in shares of Varonis Systems by 43.4% during the 1st quarter. Pictet Asset Management Holding SA now owns 3,123,056 shares of the technology company’s stock worth $67,029,000 after acquiring an additional 944,676 shares in the last quarter. American Capital Management Inc. increased its stake in Varonis Systems by 54.3% in the 1st quarter. American Capital Management Inc. now owns 2,328,379 shares of the technology company’s stock valued at $49,990,000 after purchasing an additional 819,340 shares in the last quarter. Stephens Investment Management Group LLC increased its stake in Varonis Systems by 17.9% in the 1st quarter. Stephens Investment Management Group LLC now owns 1,992,760 shares of the technology company’s stock valued at $42,785,000 after purchasing an additional 302,411 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd acquired a new position in Varonis Systems during the second quarter worth $61,262,000. Finally, Senvest Management LLC raised its holdings in Varonis Systems by 406.1% during the first quarter. Senvest Management LLC now owns 1,448,943 shares of the technology company’s stock worth $31,109,000 after purchasing an additional 1,162,651 shares during the last quarter. 95.65% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Varonis Systems

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

• Positive Sentiment: Proofpoint will pay $49.75 per Varonis share in cash, giving investors a clear takeover valuation and reducing exposure to the company’s standalone operating risks. The announcement drove buying interest in VRNS. Proofpoint to Acquire Varonis in a $6.3 Billion Transaction
• Positive Sentiment: The transaction represents a substantial premium to Varonis’s unaffected trading price and could provide shareholders with near-term value realization, subject to customary closing conditions and approvals. Varonis stock climbs on $6.3 billion Proofpoint deal
• Neutral Sentiment: Before the acquisition announcement, Wells Fargo raised its Varonis price target from $48 to $53 and maintained an “overweight” rating, indicating analysts saw additional value in the business. However, the agreed cash consideration is now the primary reference point for the stock. Wells Fargo raises Varonis price target
• Negative Sentiment: Ademi LLP and Halper Sadeh LLP announced investigations into whether the $49.75-per-share offer fairly values Varonis, whether directors adequately protected shareholders, and whether insiders received preferential benefits. These reviews could create deal-related uncertainty or delay completion, although such announcements do not necessarily indicate that the transaction will be blocked. Ademi LLP investigates Varonis buyout

About Varonis Systems

Varonis Systems, Inc develops data security and cyber-risk management software for organizations seeking to protect sensitive information from unauthorized access, misuse, and cyberattacks. Its platform helps customers discover and classify data, analyze access permissions, identify unusual activity, and remediate security exposures across on-premises and cloud-based environments.

The company’s offerings are designed to secure data stored in file systems, collaboration platforms, databases, email, and other enterprise repositories.