Varonis Systems’ fair value estimate remains unchanged at approximately $52.63 per share. This reflects a stable outlook despite recent market shifts. Analyst sentiment is mixed, with positive momentum from the company’s SaaS transition balanced against concerns over legacy business headwinds. Stay tuned to discover how you can keep up with the evolving analyst perspectives that shape the stock’s future story.
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Analyst commentary on Varonis Systems remains divided, with several firms recently updating their outlooks and price targets in response to both firm-specific and broader market developments. Here is a balanced look at the latest perspectives:
🐂 Bullish Takeaways
Several firms, including JPMorgan and UBS, raised their price targets substantially. JPMorgan increased its target to $79 from $70, while UBS moved to $70 from $65. Both moves reflect optimism around Varonis’ ongoing SaaS transition and perceived growth acceleration opportunities.
Truist, Cantor Fitzgerald, and Morgan Stanley also cited strong execution and steady progress in transitioning to a SaaS model as reasons to increase targets, focusing on improved key performance indicators, growth momentum, and positioning for future operating improvements.
Cantor Fitzgerald and Morgan Stanley highlighted Varonis’ ability to strengthen its competitive position, as well as anticipated growth in data security posture management as a core driver for AI preparedness.
Analysts pointed to new product lines, including GenAI and Managed Data Detection and Response offerings, as potential upside catalysts for revenue and competitiveness.
Despite the overall positive outlook, some bullish analysts, such as DA Davidson, issued a note of caution regarding valuation and suggested that much of the upside may already be reflected in the share price.
🐻 Bearish Takeaways
Bearish and more neutral voices have grown louder following recent results. Both Truist and Susquehanna lowered their price targets to $50, citing short-term concerns stemming from weaker than anticipated renewal rates, particularly in the On-Prem segment, which has been declining as Varonis migrates customers to its SaaS offerings.
Piper Sandler took a more cautious stance, reducing its target to $45 and highlighting a miss on quarterly annual recurring revenue, lowered full-year projections, and a company-wide resource realignment including a 5 percent reduction in force. Piper Sandler also noted uncertainty following the announced end-of-life for Varonis’ on-prem solutions.
Persistent reservations among less bullish analysts revolve around near-term execution risks, the impact of declining federal and legacy business renewals, and a conservative outlook for the upcoming quarter.
Taken together, Wall Street remains generally constructive on Varonis’ long-term strategy and execution, but recent price target reductions indicate increased scrutiny of legacy business challenges and short-term risk factors. The evolving consensus suggests that while Varonis is well positioned for growth, execution in navigating its SaaS transition and realizing cost efficiencies will be carefully monitored against its current valuation.
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NasdaqGS:VRNS Community Fair Values as at Nov 2025
Varonis Systems announced the integration of its security signals with Microsoft Purview, allowing organizations unified visibility and risk management across Microsoft and third-party data sources. This advancement is expected to streamline security operations and improve oversight.
The company unveiled new AI identity protection features for Salesforce Agentforce, empowering security teams with greater control and insight into AI agent activities and their access to sensitive information.
Varonis launched Interceptor, an AI-powered email security solution designed to detect and block sophisticated phishing attacks across email and collaboration platforms. This follows the recent acquisition of SlashNext.
The Board of Directors approved a share repurchase program of up to $150 million over the next twelve months. This move reflects confidence in the company’s outlook and commitment to shareholder value.
Fair Value remains unchanged at approximately $52.63 per share.
The discount rate has decreased marginally from 8.81% to 8.79%.
The revenue growth projection is steady at roughly 15.84% year-over-year.
The net profit margin is unchanged at around 0.49%.
The future P/E has declined slightly from 1963.5x to 1962.5x.
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Want the full story and latest analyst perspectives? Read the original Varonis Systems Narrative and stay ahead of market moves:
See how surging data volumes, regulatory change, and the ongoing SaaS transition are shaping Varonis’ long-term opportunity in data security.
Understand the upside drivers and risk factors behind analyst assumptions for revenue growth, future profits, and valuation.
Track live updates, so your view of fair value and forecasts evolves with each new earnings report, product launch, or industry development.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include VRNS.
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