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

Varonis Systems (NASDAQ:VRNSGet Free Report) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 0.140-0.150 for the period, compared to the consensus estimate of -0.110. The company issued revenue guidance of $735.0 million-$739.0 million, compared to the consensus revenue estimate of $734.8 million. Varonis Systems also updated its Q3 2026 guidance to 0.020-0.030 EPS.

Varonis Systems Price Performance

Shares of VRNS traded down $2.00 during mid-day trading on Tuesday, hitting $44.67. 4,481,597 shares of the company traded hands, compared to its average volume of 2,688,265. The company has a current ratio of 1.69, a quick ratio of 1.69 and a debt-to-equity ratio of 1.00. The stock has a market capitalization of $5.13 billion, a price-to-earnings ratio of -39.18 and a beta of 0.83. The business has a 50-day moving average of $38.34 and a 200 day moving average of $30.50. Varonis Systems has a one year low of $19.70 and a one year high of $63.90.

Varonis Systems (NASDAQ:VRNSGet Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The technology company reported $0.06 earnings per share for the quarter, topping the consensus estimate of ($0.05) by $0.11. Varonis Systems had a negative net margin of 19.75% and a negative return on equity of 20.27%. The firm had revenue of $173.13 million during the quarter, compared to analysts’ expectations of $165.52 million. The company’s revenue for the quarter was up 26.9% compared to the same quarter last year. As a group, equities analysts expect that Varonis Systems will post -1.05 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several research firms have recently commented on VRNS. KeyCorp started coverage on Varonis Systems in a research note on Tuesday, May 26th. They issued a “sector weight” rating for the company. Royal Bank Of Canada upped their price target on Varonis Systems from $30.00 to $36.00 and gave the company an “outperform” rating in a research note on Wednesday, April 29th. Rosenblatt Securities started coverage on Varonis Systems in a report on Tuesday, May 12th. They issued a “buy” rating and a $40.00 price target on the stock. Needham & Company LLC lifted their price objective on Varonis Systems from $36.00 to $40.00 and gave the stock a “buy” rating in a research report on Tuesday, June 23rd. Finally, Wedbush reissued an “outperform” rating and set a $37.00 price objective on shares of Varonis Systems in a report on Wednesday, June 24th. One research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Varonis Systems currently has a consensus rating of “Moderate Buy” and an average target price of $46.26.

Get Our Latest Analysis on VRNS

Trending Headlines about Varonis Systems

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

  • Positive Sentiment: Q2 earnings and revenue exceeded expectations. Varonis reported adjusted EPS of $0.04, above the $0.01 consensus estimate, while revenue of $180.02 million surpassed expectations of $176.83 million. Varonis Q2 2026 Press Release
  • Positive Sentiment: Profitability guidance was raised well above analyst expectations. Third-quarter EPS is now expected at $0.02-$0.03, compared with the consensus estimate of a $0.04 loss. Full-year EPS guidance of $0.14-$0.15 also significantly exceeds the consensus estimate of a $0.11 loss.
  • Positive Sentiment: SaaS momentum remained strong. Total SaaS annual recurring revenue reached $726 million, up 52% year over year, while SaaS ARR excluding conversions increased 25%. Management also cited growing contributions from Atlas, Interceptor and Database Activity Monitoring. Varonis Announces Second Quarter 2026 Financial Results
  • Positive Sentiment: JPMorgan raised its price target. JPMorgan lifted its target from $39 to $55 and maintained an “overweight” rating, supporting the bullish view on Varonis’ growth and SaaS transition. JPMorgan Raises Varonis Price Target
  • Neutral Sentiment: Revenue guidance was essentially in line. Third-quarter revenue guidance of $185 million-$188 million brackets the $186.2 million consensus, while full-year guidance of $735 million-$739 million is only modestly above the $734.8 million estimate.
  • Negative Sentiment: The market reaction suggests high expectations may already be reflected in the valuation. Although results and EPS guidance were strong, investors may have been disappointed that revenue guidance did not materially exceed forecasts, particularly after VRNS’ significant recent appreciation.

Institutional Investors Weigh In On Varonis Systems

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Empowered Funds LLC bought a new position in Varonis Systems during the fourth quarter worth about $37,000. EverSource Wealth Advisors LLC increased its stake in shares of Varonis Systems by 344.3% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,213 shares of the technology company’s stock valued at $62,000 after acquiring an additional 940 shares during the last quarter. Harvest Fund Management Co. Ltd bought a new stake in shares of Varonis Systems in the 3rd quarter valued at about $68,000. Advisory Services Network LLC acquired a new stake in shares of Varonis Systems in the 3rd quarter valued at approximately $75,000. Finally, Advisors Asset Management Inc. boosted its stake in Varonis Systems by 684.9% during the 4th quarter. Advisors Asset Management Inc. now owns 3,650 shares of the technology company’s stock worth $120,000 after acquiring an additional 3,185 shares during the last quarter. Institutional investors own 95.65% of the company’s stock.

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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