Varonis Systems (NASDAQ:VRNS) Trading Up 7.9% – Should You Buy?

Varonis Systems, Inc. (NASDAQ:VRNS) shares were up 7.9% on Wednesday . The company traded as high as $35.61 and last traded at $35.9370. Approximately 792,293 shares changed hands during mid-day trading, a decline of 41% from the average daily volume of 1,350,467 shares. The stock had previously closed at $33.30.

More Varonis Systems News

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

• Positive Sentiment: Recent analyst upgrades and institutional activity helped push VRNS higher earlier this week — several firms (Piper Sandler, Barclays, RBC and others) issued bullish ratings and price targets in early January, and Quiver data shows both large buys and sells among institutions that have driven volatility. Varonis Systems, Inc. to Report Q4 and Full-Year 2025 Financial Results on February 3, 2026
• Neutral Sentiment: Varonis scheduled its Q4 and full‑year 2025 earnings release and investor call for Feb. 3, 2026 (after the close). Investors will be watching revenue/ARR cadence and management commentary for signs of recovery or guidance changes — this timing adds short‑term uncertainty but also a clear catalyst. Varonis Announces Date of Fourth Quarter and Full-Year 2025 Financial Results
• Negative Sentiment: Multiple law firms have filed suits or launched investigations alleging securities fraud tied to disclosures from Feb.–Oct. 2025; several class‑action notices and lead‑plaintiff deadlines (March 9, 2026) were publicized today — this legal cascade raises potential liability, distraction, and reputational risk that likely pressured the stock. Levi & Korsinsky Class Action Notice
• Negative Sentiment: Significant insider selling has been reported in recent months (CFO/COO sales among the largest), which, combined with the surge of law‑firm solicitations, may amplify investor concern about near‑term downside. Insider trading and institutional activity summary

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of Varonis Systems in a research report on Wednesday, October 8th. DA Davidson lowered their price target on shares of Varonis Systems from $55.00 to $40.00 and set a “neutral” rating on the stock in a report on Wednesday, October 29th. Cantor Fitzgerald restated an “overweight” rating on shares of Varonis Systems in a report on Wednesday. Barclays lowered their target price on Varonis Systems from $50.00 to $45.00 and set an “overweight” rating on the stock in a research note on Monday. Finally, Zacks Research raised Varonis Systems from a “strong sell” rating to a “hold” rating in a report on Tuesday, November 11th. Seventeen analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Varonis Systems has a consensus rating of “Moderate Buy” and an average price target of $56.70.

Varonis Systems Trading Down 1.4%

The firm’s fifty day simple moving average is $33.25 and its 200 day simple moving average is $48.04. The stock has a market capitalization of $4.16 billion, a P/E ratio of -34.56 and a beta of 0.56. The company has a debt-to-equity ratio of 0.75, a quick ratio of 1.81 and a current ratio of 1.81.

Varonis Systems (NASDAQ:VRNS) last posted its quarterly earnings results on Tuesday, October 28th. The technology company reported $0.06 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.06. Varonis Systems had a negative net margin of 18.82% and a negative return on equity of 21.91%. The business had revenue of $161.58 million for the quarter, compared to analyst estimates of $166.47 million. During the same quarter last year, the business posted $0.10 EPS. The firm’s revenue for the quarter was up 9.1% on a year-over-year basis. Varonis Systems has set its Q4 2025 guidance at 0.020-0.04 EPS. As a group, equities research analysts forecast that Varonis Systems, Inc. will post -0.83 EPS for the current fiscal year.

Institutional Trading of Varonis Systems

A number of hedge funds have recently added to or reduced their stakes in the stock. Dynamic Technology Lab Private Ltd bought a new position in shares of Varonis Systems in the 1st quarter valued at $233,000. Goldman Sachs Group Inc. raised its position in Varonis Systems by 26.2% in the first quarter. Goldman Sachs Group Inc. now owns 4,084,830 shares of the technology company’s stock valued at $165,231,000 after purchasing an additional 848,408 shares during the last quarter. Caxton Associates LLP acquired a new stake in shares of Varonis Systems during the first quarter valued at about $200,000. Woodline Partners LP bought a new stake in shares of Varonis Systems during the first quarter worth about $8,627,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in Varonis Systems by 11.7% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 619,257 shares of the technology company’s stock valued at $25,049,000 after buying an additional 64,636 shares during the last quarter. Institutional investors and hedge funds own 95.65% of the company’s stock.

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.