Varonis Systems (NASDAQ:VRNS) Issues Q3 2026 Earnings Guidance

Posted by on Jul 30th, 2026

Varonis Systems (NASDAQ:VRNS – Get Free Report) issued an update on its third quarter 2026 earnings guidance on Tuesday. The company provided EPS guidance of 0.020-0.030 for the period, compared to the consensus EPS estimate of -0.040. The company issued revenue guidance of $185.0 million-$188.0 million, compared to the consensus revenue estimate of $186.2 million. Varonis Systems also updated its FY 2026 guidance to 0.140-0.150 EPS.

Varonis Systems Stock Performance

VRNS traded down $0.45 during trading on Thursday, reaching $40.20. 542,480 shares of the company’s stock were exchanged, compared to its average volume of 2,685,377. Varonis Systems has a fifty-two week low of $19.70 and a fifty-two week high of $63.90. The company has a quick ratio of 1.69, a current ratio of 1.69 and a debt-to-equity ratio of 1.00. The business has a 50 day moving average price of $38.83 and a 200 day moving average price of $30.60. The company has a market capitalization of $4.62 billion, a P/E ratio of -32.58 and a beta of 0.83.

Varonis Systems (NASDAQ:VRNS – Get Free Report) last announced its quarterly earnings data on Tuesday, July 28th. The technology company reported $0.04 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.01 by $0.03. The company had revenue of $180.02 million during the quarter, compared to analysts’ expectations of $176.83 million. Varonis Systems had a negative net margin of 20.55% and a negative return on equity of 18.24%. The business’s revenue was up 18.3% on a year-over-year basis. During the same quarter in the prior year, the company 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. As a group, analysts predict that Varonis Systems will post -1.05 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Several research analysts recently issued reports on the stock. DA Davidson increased their price target on shares of Varonis Systems from $30.00 to $37.00 and gave the stock a “buy” rating in a research report on Wednesday, April 29th. B. Riley Financial lifted their price objective on Varonis Systems from $45.00 to $55.00 and gave the company a “buy” rating in a report on Friday, July 24th. TD Cowen upped their price objective on Varonis Systems from $50.00 to $53.00 and gave the company a “buy” rating in a research note on Wednesday. Needham & Company LLC increased their target price on Varonis Systems from $40.00 to $50.00 and gave the stock a “buy” rating in a report on Wednesday. Finally, Wells Fargo & Company raised their target price on Varonis Systems from $35.00 to $50.00 and gave the stock an “overweight” rating in a research report on Monday, July 20th. Eighteen analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $48.26.

View Our Latest Analysis on VRNS

Trending Headlines about Varonis Systems

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

  • Positive Sentiment: Q2 results exceeded expectations: Varonis reported adjusted EPS of $0.04 versus the $0.01 consensus estimate, while revenue rose 18.3% year over year to $180.0 million, topping the $176.8 million forecast. Varonis Q2 earnings article
  • Positive Sentiment: SaaS momentum remained strong: Total SaaS annual recurring revenue increased 52% to $726 million, while SaaS ARR excluding conversions grew 25%. Management also cited growing demand for AI security and momentum in Atlas, Interceptor and Database Activity Monitoring. Varonis second-quarter results
  • Positive Sentiment: Outlook improved: Varonis raised its 2026 SaaS ARR growth outlook to 20%-21% and projected $105 million-$110 million in free cash flow. Full-year revenue guidance of $735 million-$739 million and EPS guidance of $0.14-$0.15 were also above consensus expectations. Varonis raises SaaS ARR outlook
  • Positive Sentiment: Analyst sentiment strengthened: Piper Sandler, Susquehanna, TD Cowen, Needham and JPMorgan raised their price targets, with targets ranging from $50 to $58. The brokerage consensus remains “Moderate Buy.” Varonis consensus rating
  • Neutral Sentiment: Mixed analyst view: Although most firms remain bullish, Barclays trimmed its target to $50 and Baird maintained a neutral rating, indicating some caution after the stock’s strong run.
  • Negative Sentiment: Profitability remains a concern: Varonis continues to report a negative net margin and negative return on equity. The shares also initially declined after the earnings release, suggesting that investors may have been expecting an even stronger outlook despite the quarterly beat.

Hedge Funds Weigh In On Varonis Systems

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Benjamin Edwards Inc. grew its stake in Varonis Systems by 5.5% during the second quarter. Benjamin Edwards Inc. now owns 6,692 shares of the technology company’s stock worth $340,000 after buying an additional 351 shares during the last quarter. Amundi raised its stake in shares of Varonis Systems by 0.7% in the third quarter. Amundi now owns 52,886 shares of the technology company’s stock valued at $3,212,000 after acquiring an additional 387 shares during the last quarter. Osaic Holdings Inc. boosted its holdings in shares of Varonis Systems by 10.5% in the 2nd quarter. Osaic Holdings Inc. now owns 4,647 shares of the technology company’s stock worth $234,000 after acquiring an additional 440 shares in the last quarter. Xponance LLC boosted its holdings in shares of Varonis Systems by 6.2% in the 4th quarter. Xponance LLC now owns 9,212 shares of the technology company’s stock worth $302,000 after acquiring an additional 539 shares in the last quarter. Finally, Focus Partners Wealth grew its position in Varonis Systems by 0.5% during the 3rd quarter. Focus Partners Wealth now owns 111,210 shares of the technology company’s stock worth $6,351,000 after acquiring an additional 546 shares during the last quarter. 95.65% of the stock is currently owned by institutional investors and hedge funds.

About Varonis Systems

(Get Free Report)

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.

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Earnings History and Estimates for Varonis Systems (NASDAQ:VRNS)

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