VRNS
Varonis Systems, Inc.

Varonis Systems, Inc.VRNS

Technology · Software - Infrastructure
48.80USD
+0.14%
Nov 08, 2026
VRNS overview ready
AI-driven data security platform for enterprise data protection
Varonis is a data-security pure play focused on data discovery and classification, permissions and access intelligence, exposure remediation, data activity monitoring, threat detection, and newer AI-security controls across hybrid enterprise environments.
Theme not measured
No economic group is assigned yet.
Consolidating price action
Longer-term context reads early trend, with a near-term setup of breakout attempt.
Demanding valuation
The price embeds expectations that run ahead of the cash the business currently produces.
Unremarkable fundamentals
Primary risk
Dependence on continued enterprise IT security spending.
Market Nov 6Filing Sep 30Price action Nov 7Research Aug 4

Conviction Level

Theme Momentum has no canonical measurement for this company — a research-profile dimension, not an input to this score.

PriceAction7.4BusinessPerformance5.0BusinessQuality4.9Valuation3.1ThemeMomentum—Mixed — Revenue is growing at a steady pace (+17% year over year). The company is still loss-making: the diluted loss per share widened to -$0.36 from -$0.26 a year earlier. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
No economic group yet — pending research
Price
Loading price history…

Price Action

Consolidating price action
Longer-term context reads early trend, with a near-term setup of breakout attempt.
EntryBreakout + retest

Price broke through the weekly SMA200, then retested it constructively and recovered — a fresh structural entry rather than a chase.

Key Financials

Market Cap
$5.6B
Avg Volume (60D)
3.5M
60 sessions
Revenue Growth YoY
+13.2%
FY2025 vs FY2024
Gross Margin
+76.3%
Trailing twelve months
Operating Margin
-22.8%
Trailing twelve months
Free Cash Flow Yield
+2.1%
Distance from 200DMA
+36.1%
P/E
N/M
EV / Sales
7.7x
Market metrics as of Nov 6, 2026
Financial results for the period ended Sep 30, 2026
Filed balance-sheet data as of Sep 30, 2026

Business Performance

Mixed

Revenue is growing at a steady pace (+17% year over year). The company is still loss-making: the diluted loss per share widened to -$0.36 from -$0.26 a year earlier.

Latest reported: Q3 FY2026, ended Sep 30
Revenue growthGrowing
+17%
$189M in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. +9.4%
  2. +27%
  3. +18%
  4. +17%
Earnings growthLoss widening
-$0.36
Diluted EPS -$0.36 vs -$0.26 a year earlier · GAAP
Too few comparable EPS quarters: a loss or a turn to profit has no meaningful percentage.
Operating marginStable
-25.2%
-2.9 pp YoY · gross margin 75.3% (-3.0 pp)

Business Quality

4.9 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

Two of the three valuation perspectives say expensive; own history is the dissenting view.
Varonis Systems, Inc. has an Expensive valuation stance because the price embeds expectations that run ahead of the cash the business currently produces. It trades at 7.7x revenue, which requires sustained delivery to be justified.

Company Research

Thesis
Varonis is a data-security pure play focused on data discovery and classification, permissions and access intelligence, exposure remediation, data activity monitoring, threat detection, and newer AI-security controls across hybrid enterprise environments. VRNS has a strong, direct fit with enterprise cybersecurity modernization.
Opportunity
Moderate opportunity
Enterprise spending to discover and classify sensitive data, reduce excessive access and misconfigurations, monitor data activity, and improve resilience against data theft, ransomware, and AI-enabled data exposure across cloud, SaaS, and on-premises environments.
Key risk
Dependence on continued enterprise IT security spending.

Economic classification

Loading the economic classification…

Business & Markets

Technology · Software - Infrastructure
What they do

Varonis Systems develops and provides AI-powered software solutions that continuously discover, classify, and protect critical enterprise data across hybrid environments globally.

How it earns

Primarily subscription-based Software-as-a-Service (SaaS) revenue.

Products & services
Varonis Data Security Platform
Data security posture management
Data access intelligence
Data discovery & classification
Least privilege automation
Data activity monitoring
User & entity behavior analytics
Customers & end markets
Enterprises requiring data security and compliance
Organizations across North America, Europe, and APAC
Market position

Niche pure-play data security provider focused on data discovery, classification, and AI-driven threat detection.

Demand drivers
Low cyclicality

Driven by ongoing regulatory and security needs rather than economic cycles.