Varonis Systems, Inc. VRNS

Information TechnologySoftware & IT ServicesUnited States of America

Last close 48.85 USD on Nov 1, 2026, +48.9% year to date

Quant rating

Quant rating C Rank 235 of 389 in Information Technology

Growth B 69 of 389
Valuation D 348 of 389
Quality C 255 of 389
Revisions D 282 of 389
Momentum A 50 of 389

Wall Street consensus Hold (2.86)Average target 49.15 USD +0.6%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 5.6B
Enterprise value: 5.4B
52-week range: 19.70 – 50.31
3-year range: 19.70 – 63.31
Dividend yield: –
Beta (5 years): 0.77
Shares outstanding: 115M
Next earnings: Oct 30, 2026

About the company

Varonis Systems, Inc. secures artificial intelligence (AI) and the data that powers it. The Varonis platform gives organizations automated visibility and control over their critical data wherever it lives and ensures safe AI from code to runtime. Its products are delivered through its flagship Varonis Data Security Platform, a unified platform designed to protect enterprise data across cloud, SaaS and on-premises environments. The Varonis Data Security Platform SaaS license includes capabilities designed to help customers understand their data exposure, reduce unnecessary access, and detect and respond to threats. These capabilities include data security posture management, data access intelligence, data discovery and classification, least privilege automation, data activity monitoring, data detection and response, and user and entity behavior analytics. Its database and email security capabilities include Varonis Database Activity Monitoring and Varonis Interceptor.

Growth and profitability fiscal year ends December 31

Growth and profitability by fiscal year
	2025	2024	2023	2022	2021	5Y avg
Revenue (mil)	624	551	499	474	390	–
Revenue growth	13.2%	10.4%	5.4%	21.4%	33.3%	16.3%
EPS (basic, normalized)	0.18	0.31	0.36	0.18	0.13	–
EPS growth	−41.9%	−13.9%	100.0%	38.5%	–	–
Gross margin	78.8%	83.0%	85.6%	85.3%	84.8%	83.5%
Net margin	−20.7%	−17.4%	−20.2%	−26.3%	−30.0%	−22.9%
ROE	−24.5%	−20.3%	−20.4%	−22.7%	−33.8%	−24.3%

Balance sheet, last quarter
Cash & short-term investments (mil)	698
Current ratio	1.65x
Long-term debt (mil)	453
Net debt (mil)	−245
Total equity (mil)	444
Net debt / equity	−0.55x
Net debt / EBITDA	−14,411.06x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2025 actual	624	+13.2%	8.6x	0	−99.9%	316,902.8x	0.18	−41.9%	271.4x
2026	738	+18.3%	7.3x	29.1	+171,184.3%	185.0x	0.15	−15.9%	322.7x
2027	876	+18.7%	6.2x	82.1	+182.0%	65.6x	0.41	+169.2%	119.9x
2028	1,023	+16.8%	5.3x	133	+62.6%	40.4x	0.70	+72.9%	69.3x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2026	738	0.0%	0.0%	+0.4%	0.15	+0.7%	+3.1%	+25.7%
2027	876	0.0%	+0.1%	+0.9%	0.41	+0.1%	−1.6%	+5.9%
2028	1,023	−0.1%	0.0%	+1.3%	0.70	−0.9%	−2.9%	−6.3%

Earnings surprises EPS beat in 3 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	114	130	148	159	136	152	162	173	173	180
Sales mean (mil)	114	125	142	166	133	148	166	169	166	177
Surprise	+0.4%	+4.4%	+4.5%	−4.3%	+2.5%	+2.8%	−2.8%	+2.9%	+4.6%	+1.8%
EPS reported	−0.03	0.05	0.10	0.18	0.01	0.03	0.06	0.08	0.06	0.04
EPS mean	−0.09	−0.02	0.07	0.14	−0.05	0.01	0.06	0.03	−0.05	0.01
Surprise	+66.1%	−344.9%	+35.8%	+30.3%	−121.3%	+246.8%	+2.9%	+146.4%	−212.6%	+365.7%

Peer comparison Software & IT Services

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
VRNS Varonis Systems, Inc.	5.6B	−14,411.06x	−20.7%	12.62x	322.7x	119.9x	185.0x	65.6x
MSFT Microsoft Corporation	3.88T	0.22x	40.3%	8.24x	26.2x	21.9x	16.2x	13.1x
PANW Palo Alto Networks, Inc.	299.4B	−0.31x	2.7%	10.85x	87.5x	75.0x	60.0x	51.7x
CRWD CrowdStrike Holdings, Inc.	256.4B	−3.19x	−3.4%	50.26x	199.4x	155.9x	139.0x	106.5x
IBM International Business Machines Corp	243.7B	2.78x	17.4%	6.86x	20.8x	19.4x	14.6x	13.7x
NOW ServiceNow, Inc.	109.1B	0.61x	13.2%	8.33x	26.5x	21.9x	17.8x	15.1x
Mean		−2,401.82x	8.2%	16.19x	113.8x	69.0x	72.1x	44.3x
Median		−0.05x	7.9%	9.59x	57.0x	48.5x	38.9x	33.4x

Technical analysis

1M+1.9%
3M+9.4%
1Y−22.5%
3Y+55.0%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Varonis Systems, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Total revenue	624	551	499	474	390	293
Cost of revenue	132	93.8	71.8	69.8	59.4	44.3
Gross profit	492	457	427	404	331	248
Selling, general & administrative expenses	400	378	361	347	292	227
Research & development	238	197	184	178	138	99.4
Interest expense (income), operating	–	–	–	–	–	–
Unusual expense (income)	–	–	–	–	–	–
Other operating expenses	0	0	0	0	0	0
Operating income	−147	−118	−117	−121	−98.7	−78.4
Net interest income (expense)	31.0	35.5	30.8	10.9	−11.6	−7.2
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	−0.8	−0.9	−0.5	−0.5	−0.6	−0.3
Net income before taxes	−116	−83.0	−86.9	−111	−111	−85.9
Provision for taxes	13.0	12.8	14.0	13.7	6.0	8.1
Minority interest	–	–	–	–	–	–
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	−129	−95.8	−101	−125	−117	−94.0
Extraordinary items	–	–	–	–	–	–
Net income	−129	−95.8	−101	−125	−117	−94.0
EBIT, normalized	−147	−118	−117	−121	−98.7	−78.4
EBITDA, normalized	−134	−107	−106	−109	−87.8	−68.2
Basic EPS, normalized	0.18	0.31	0.36	0.18	0.13	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Varonis Systems, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Assets
Cash & short-term investments	921	571	535	733	808	299
Receivables	243	193	169	136	117	94.2
Total inventory	–	–	–	–	–	–
Prepaid expenses	20.9	28.5	22.8	10.2	6.7	7.9
Other current assets	114	86.0	40.5	26.6	27.3	19.1
Total current assets	1,299	878	767	906	959	420
Property, plant & equipment	93.7	76.4	85.8	95.8	102	85.1
Goodwill	135	23.1	23.1	23.1	23.1	23.1
Intangibles	16.7	0	1.3	2.8	4.3	5.8
Long-term investments	187	659	211	–	–	–
Note receivable	–	–	–	–	–	–
Other long-term assets	60.2	27.8	15.5	16.3	19.8	21.6
Total assets	1,792	1,664	1,104	1,044	1,109	555
Liabilities
Accounts payable	5.7	4.3	0.7	3.0	5.3	0.8
Payable/accrued	–	–	–	–	–	–
Accrued expenses	132	102	81.3	73.0	63.7	45.9
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	0	251	–	–	–	–
Other current liabilities	521	353	225	153	143	136
Total current liabilities	659	710	307	229	212	183
Long-term debt	452	450	250	249	225	218
Minority interest	–	–	–	–	–	–
Other liabilities	81.7	48.5	57.0	63.9	74.8	60.3
Total liabilities	1,193	1,209	614	542	512	461
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	0.1	0.1	0.1	0.1	0.1	0
Additional paid-in capital	1,445	1,193	1,143	1,055	1,018	395
Retained earnings (accumulated deficit)	−869	−740	−644	−543	−428	−311
Treasury stock	–	–	–	–	–	–
Other equity	23.1	2.7	−8.6	−9.6	6.1	9.4
Total equity	599	456	490	502	597	94.1
Total liabilities & shareholders' equity	1,792	1,664	1,104	1,044	1,109	555

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Varonis Systems, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Operating activities
Net income	−129	−95.8	−101	−125	−117	−94.0
Depreciation, depletion & amortization	12.3	11.1	11.7	12.2	10.9	9.9
Deferred taxes	–	–	–	–	–	–
Non-cash items	197	187	163	176	139	94.5
Changes in working capital	67.2	13.1	−14.3	−51.3	−25.9	−16.3
Cash from operations	147	115	59.4	11.9	7.2	−5.8
Investing activities
Capital expenditures	−15.5	−6.7	−5.1	−11.4	−10.5	−10.1
Other investing cash flows	14.7	−526	−138	−363	64.9	−44.6
Cash from investing	−0.8	−532	−143	−374	54.4	−54.7
Financing activities
Financing cash flow items	−29.2	−93.8	−21.4	−31.1	0	−19.6
Cash dividends paid	–	–	–	–	–	–
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	−101	466	−32.0	−44.5	510	245
Cash from financing	−130	372	−53.4	−75.6	510	226
Foreign exchange effects	–	–	–	–	–	–
Net change in cash	16.9	−45.2	−137	−438	572	165
Free cash flow	132	109	54.3	0.5	−3.3	−16.0

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 1, 2026 after market close.