32.47 USD
+1 (+3.18%)
32.47 USD
0 (0%)
VRNS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 280 industry peers in the Software industry. VRNS may be in some trouble as it scores bad on both profitability and health. VRNS shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year VRNS was profitable.
VRNS had a positive operating cash flow in the past year.
In the past 5 years VRNS always reported negative net income.
Of the past 5 years VRNS 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of VRNS (-6.88%) is comparable to the rest of the industry.
VRNS has a Return On Equity (-18.94%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.88% | ||
| ROE | -18.94% | ||
| ROIC | N/A |
ROA(3y)-8.94%
ROA(5y)-10.86%
ROE(3y)-22.14%
ROE(5y)-37.18%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VRNS's Gross Margin of 80.04% is amongst the best of the industry. VRNS outperforms 82.14% of its industry peers.
VRNS's Gross Margin has been stable in the last couple of years.
The Profit Margin and Operating Margin are not available for VRNS so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 80.04% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.72%
GM growth 5Y-0.75%
2. Health
2.1 Basic Checks
VRNS does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for VRNS has been increased compared to 1 year ago.
Compared to 5 years ago, VRNS has more shares outstanding
The debt/assets ratio for VRNS is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.70, we must say that VRNS is in the distress zone and has some risk of bankruptcy.
VRNS has a Altman-Z score (1.70) which is comparable to the rest of the industry.
VRNS has a debt to FCF ratio of 3.44. This is a good value and a sign of high solvency as VRNS would need 3.44 years to pay back of all of its debts.
VRNS has a Debt to FCF ratio of 3.44. This is in the better half of the industry: VRNS outperforms 62.86% of its industry peers.
VRNS has a Debt/Equity ratio of 0.75. This is a neutral value indicating VRNS is somewhat dependend on debt financing.
VRNS's Debt to Equity ratio of 0.75 is on the low side compared to the rest of the industry. VRNS is outperformed by 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 3.44 | ||
| Altman-Z | 1.7 |
ROIC/WACCN/A
WACC10.43%
2.3 Liquidity
A Current Ratio of 1.81 indicates that VRNS should not have too much problems paying its short term obligations.
VRNS has a Current ratio (1.81) which is comparable to the rest of the industry.
A Quick Ratio of 1.81 indicates that VRNS should not have too much problems paying its short term obligations.
VRNS has a Quick ratio (1.81) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.81 |
3. Growth
3.1 Past
The earnings per share for VRNS have decreased strongly by -28.21% in the last year.
Measured over the past years, VRNS shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.72% on average per year.
VRNS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.37%.
Measured over the past years, VRNS shows a quite strong growth in Revenue. The Revenue has been growing by 16.73% on average per year.
EPS 1Y (TTM)-28.21%
EPS 3Y35.72%
EPS 5YN/A
EPS Q2Q%-40%
Revenue 1Y (TTM)11.37%
Revenue growth 3Y12.2%
Revenue growth 5Y16.73%
Sales Q2Q%9.12%
3.2 Future
Based on estimates for the next years, VRNS will show a very strong growth in Earnings Per Share. The EPS will grow by 45.53% on average per year.
VRNS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.95% yearly.
EPS Next Y-54.63%
EPS Next 2Y7.63%
EPS Next 3Y25.74%
EPS Next 5Y45.53%
Revenue Next Year11.02%
Revenue Next 2Y13.54%
Revenue Next 3Y15.04%
Revenue Next 5Y14.95%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 115.96, the valuation of VRNS can be described as expensive.
VRNS's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 25.98. VRNS is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 93.44 indicates a quite expensive valuation of VRNS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VRNS indicates a slightly more expensive valuation: VRNS is more expensive than 60.36% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.79, VRNS is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 115.96 | ||
| Fwd PE | 93.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VRNS indicates a somewhat cheap valuation: VRNS is cheaper than 72.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.67 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as VRNS's earnings are expected to grow with 25.74% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.63%
EPS Next 3Y25.74%
5. Dividend
5.1 Amount
VRNS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
32.47
+1 (+3.18%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners105.73%
Inst Owner Change-19.73%
Ins Owners2.48%
Ins Owner Change-1.47%
Market Cap3.64B
Revenue(TTM)608.68M
Net Income(TTM)-114.54M
Analysts80.74
Price Target53.36 (64.34%)
Short Float %6.01%
Short Ratio2.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)120.46%
Min EPS beat(2)0.9%
Max EPS beat(2)240.02%
EPS beat(4)4
Avg EPS beat(4)97.39%
Min EPS beat(4)0.9%
Max EPS beat(4)240.02%
EPS beat(8)8
Avg EPS beat(8)105.66%
EPS beat(12)11
Avg EPS beat(12)94.73%
EPS beat(16)14
Avg EPS beat(16)78.5%
Revenue beat(2)1
Avg Revenue beat(2)-1.93%
Min Revenue beat(2)-4.66%
Max Revenue beat(2)0.8%
Revenue beat(4)2
Avg Revenue beat(4)-2.37%
Min Revenue beat(4)-6.13%
Max Revenue beat(4)0.8%
Revenue beat(8)4
Avg Revenue beat(8)-0.84%
Revenue beat(12)4
Avg Revenue beat(12)-1.52%
Revenue beat(16)5
Avg Revenue beat(16)-1.42%
PT rev (1m)-14.06%
PT rev (3m)-11.5%
EPS NQ rev (1m)-26.92%
EPS NQ rev (3m)-55.12%
EPS NY rev (1m)-4.71%
EPS NY rev (3m)-24.87%
Revenue NQ rev (1m)-1.18%
Revenue NQ rev (3m)-1.52%
Revenue NY rev (1m)-0.94%
Revenue NY rev (3m)-0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 115.96 | ||
| Fwd PE | 93.44 | ||
| P/S | 5.98 | ||
| P/FCF | 27.67 | ||
| P/OCF | 24.75 | ||
| P/B | 6.02 | ||
| P/tB | 8.04 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.28
EY0.86%
EPS(NY)0.35
Fwd EY1.07%
FCF(TTM)1.17
FCFY3.61%
OCF(TTM)1.31
OCFY4.04%
SpS5.43
BVpS5.4
TBVpS4.04
PEG (NY)N/A
PEG (5Y)N/A
Graham Number5.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.88% | ||
| ROE | -18.94% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 80.04% | ||
| FCFM | 21.6% |
ROA(3y)-8.94%
ROA(5y)-10.86%
ROE(3y)-22.14%
ROE(5y)-37.18%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.72%
GM growth 5Y-0.75%
F-Score5
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.75 | ||
| Debt/FCF | 3.44 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 147.42% | ||
| Cap/Sales | 2.55% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.81 | ||
| Altman-Z | 1.7 |
F-Score5
WACC10.43%
ROIC/WACCN/A
Cap/Depr(3y)65.78%
Cap/Depr(5y)79.18%
Cap/Sales(3y)1.55%
Cap/Sales(5y)2.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.21%
EPS 3Y35.72%
EPS 5YN/A
EPS Q2Q%-40%
EPS Next Y-54.63%
EPS Next 2Y7.63%
EPS Next 3Y25.74%
EPS Next 5Y45.53%
Revenue 1Y (TTM)11.37%
Revenue growth 3Y12.2%
Revenue growth 5Y16.73%
Sales Q2Q%9.12%
Revenue Next Year11.02%
Revenue Next 2Y13.54%
Revenue Next 3Y15.04%
Revenue Next 5Y14.95%
EBIT growth 1Y-27.02%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-40.01%
EBIT Next 3Y63.43%
EBIT Next 5Y50.6%
FCF growth 1Y187.81%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y180.57%
OCF growth 3Y152.22%
OCF growth 5YN/A
VARONIS SYSTEMS INC / VRNS FAQ
Can you provide the ChartMill fundamental rating for VARONIS SYSTEMS INC?
ChartMill assigns a fundamental rating of 4 / 10 to VRNS.
What is the valuation status of VARONIS SYSTEMS INC (VRNS) stock?
ChartMill assigns a valuation rating of 2 / 10 to VARONIS SYSTEMS INC (VRNS). This can be considered as Overvalued.
How profitable is VARONIS SYSTEMS INC (VRNS) stock?
VARONIS SYSTEMS INC (VRNS) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for VRNS stock?
The Price/Earnings (PE) ratio for VARONIS SYSTEMS INC (VRNS) is 115.96 and the Price/Book (PB) ratio is 6.02.
What is the expected EPS growth for VARONIS SYSTEMS INC (VRNS) stock?
The Earnings per Share (EPS) of VARONIS SYSTEMS INC (VRNS) is expected to decline by -54.63% in the next year.