Varonis Systems (NASDAQ:VRNS) Stock Rating Reaffirmed as Hold by TD Cowen

Varonis Systems (NASDAQ:VRNS)‘s stock had its “hold” rating reissued by TD Cowen in a report released on Friday, Benzinga reports. They presently have a $49.75 price target on the technology company’s stock, down from their previous price target of $56.00. TD Cowen’s price target would suggest a potential upside of 2.29% from the company’s previous close.

A number of other analysts have also recently issued reports on VRNS. UBS Group increased their price objective on Varonis Systems from $37.00 to $58.00 and gave the stock a “buy” rating in a report on Tuesday, July 21st. Robert W. Baird lifted their target price on Varonis Systems from $40.00 to $45.00 and gave the company a “neutral” rating in a report on Wednesday, July 29th. B. Riley Financial lifted their target price on Varonis Systems from $45.00 to $55.00 and gave the company a “buy” rating in a report on Friday, July 24th. Wedbush upped their price target on Varonis Systems from $46.00 to $49.75 and gave the company a “neutral” rating in a research report on Friday. Finally, Susquehanna upped their price target on Varonis Systems from $36.00 to $55.00 and gave the company a “positive” rating in a research report on Wednesday, July 29th. Ten analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, Varonis Systems currently has a consensus rating of “Hold” and a consensus price target of $50.86.

Varonis Systems Stock Performance

Shares of NASDAQ:VRNS traded up $1.29 during trading on Friday, hitting $48.63. 14,985,790 shares of the company were exchanged, compared to its average volume of 2,436,654. The company has a market cap of $5.59 billion, a PE ratio of -39.54 and a beta of 0.77. The stock has a 50 day moving average of $45.71 and a 200 day moving average of $37.89. Varonis Systems has a 52-week low of $19.70 and a 52-week high of $63.80. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.65 and a quick ratio of 1.65.

Varonis Systems (NASDAQ:VRNS) last posted its quarterly earnings results on Tuesday, July 28th. The technology company reported $0.04 EPS for the quarter, topping analysts’ consensus estimates of $0.01 by $0.03. The firm had revenue of $180.02 million during the quarter, compared to analyst estimates of $176.83 million. Varonis Systems had a negative return on equity of 19.18% and a negative net margin of 20.55%. The business’s revenue for the quarter was up 18.3% on a year-over-year basis. During the same period last year, the company earned $0.03 earnings per share. 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. As a group, equities research analysts predict that Varonis Systems will post -0.95 EPS for the current year.

Institutional Trading of Varonis Systems

Hedge funds have recently made changes to their positions in the stock. Assenagon Asset Management S.A. lifted its holdings in Varonis Systems by 417.3% in the third quarter. Assenagon Asset Management S.A. now owns 89,971 shares of the technology company’s stock worth $4,269,000 after buying an additional 72,577 shares during the period. State of Alaska Department of Revenue bought a new stake in Varonis Systems during the 3rd quarter valued at approximately $247,000. Sequoia Financial Advisors LLC purchased a new position in shares of Varonis Systems during the 2nd quarter worth approximately $204,000. WINTON GROUP Ltd purchased a new position in shares of Varonis Systems during the 2nd quarter worth approximately $306,000. Finally, Engineers Gate Manager LP purchased a new position in shares of Varonis Systems during the 2nd quarter worth approximately $1,441,000. 95.65% of the stock is owned by institutional investors.

Key Varonis Systems News

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

• Positive Sentiment: Proofpoint agreed to acquire Varonis in a definitive all-cash transaction valued at approximately $6.3 billion. The deal price is above Varonis’s recent market price and reduces near-term valuation uncertainty for shareholders. Proofpoint to Acquire Varonis in a $6.3 Billion Transaction
• Neutral Sentiment: Analyst targets are converging on the $49.75 acquisition price. Wedbush raised its target from $46 to $49.75 while retaining a neutral rating; Wells Fargo, DA Davidson and Rosenblatt reaffirmed neutral or equal-weight ratings with targets at $49.75. Needham maintained its hold rating. These actions imply modest upside but limited standalone upside beyond the offer price.
• Neutral Sentiment: RBC downgraded Varonis from outperform to sector perform and lowered its target from $52 to $49.75, citing the Proofpoint transaction. The move reflects the reduced importance of Varonis’s independent operating outlook while the acquisition is pending. RBC Downgrades Varonis Systems Amid Proofpoint Deal
• Negative Sentiment: Shareholder-rights law firms Ademi LLP and Halper Sadeh announced investigations into whether the $49.75 offer fairly values Varonis and whether the board adequately protected investors. Such reviews could increase deal-related scrutiny and introduce uncertainty, although they do not by themselves block the transaction. VRNS Shareholder Alert

Varonis Systems Company Profile

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.