VARONIS SYSTEMS INC (VRNS) Stock Fundamental Analysis

NASDAQ:VRNS • US9222801022

23.55 USD
+0.47 (+2.04%)
At close: Mar 3, 2026
23.55 USD
0 (0%)
After Hours: 3/3/2026, 5:51:47 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

3

Taking everything into account, VRNS scores 3 out of 10 in our fundamental rating. VRNS was compared to 276 industry peers in the Software industry. VRNS scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. VRNS is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

2

1. Profitability

1.1 Basic Checks

  • In the past year VRNS was profitable.
  • In the past year VRNS had a positive cash flow from operations.
  • VRNS had negative earnings in each of the past 5 years.
  • VRNS had a positive operating cash flow in each of the past 5 years.
VRNS Yearly Net Income VS EBIT VS OCF VS FCFVRNS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 50M -50M 100M -100M

1.2 Ratios

  • VRNS has a Return On Assets of -7.22%. This is comparable to the rest of the industry: VRNS outperforms 40.58% of its industry peers.
  • The Return On Equity of VRNS (-21.60%) is worse than 62.32% of its industry peers.
Industry RankSector Rank
ROA -7.22%
ROE -21.6%
ROIC N/A
ROA(3y)-7.37%
ROA(5y)-8.92%
ROE(3y)-21.08%
ROE(5y)-21.52%
ROIC(3y)N/A
ROIC(5y)N/A
VRNS Yearly ROA, ROE, ROICVRNS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 -20 -40 -60 -80

1.3 Margins

  • VRNS's Gross Margin of 78.83% is fine compared to the rest of the industry. VRNS outperforms 76.09% of its industry peers.
  • In the last couple of years the Gross Margin of VRNS has remained more or less at the same level.
  • The Profit Margin and Operating Margin are not available for VRNS so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 78.83%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.58%
GM growth 5Y-1.46%
VRNS Yearly Profit, Operating, Gross MarginsVRNS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

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.
  • VRNS has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for VRNS has been reduced compared to a year ago.
VRNS Yearly Shares OutstandingVRNS Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M
VRNS Yearly Total Debt VS Total AssetsVRNS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

2.2 Solvency

  • Based on the Altman-Z score of 1.19, we must say that VRNS is in the distress zone and has some risk of bankruptcy.
  • VRNS's Altman-Z score of 1.19 is in line compared to the rest of the industry. VRNS outperforms 43.48% of its industry peers.
  • VRNS has a debt to FCF ratio of 3.43. This is a good value and a sign of high solvency as VRNS would need 3.43 years to pay back of all of its debts.
  • VRNS has a better Debt to FCF ratio (3.43) than 61.59% of its industry peers.
  • VRNS has a Debt/Equity ratio of 0.76. This is a neutral value indicating VRNS is somewhat dependend on debt financing.
  • VRNS has a worse Debt to Equity ratio (0.76) than 71.01% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.76
Debt/FCF 3.43
Altman-Z 1.19
ROIC/WACCN/A
WACC10.18%
VRNS Yearly LT Debt VS Equity VS FCFVRNS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M 400M

2.3 Liquidity

  • A Current Ratio of 1.97 indicates that VRNS should not have too much problems paying its short term obligations.
  • The Current ratio of VRNS (1.97) is comparable to the rest of the industry.
  • A Quick Ratio of 1.97 indicates that VRNS should not have too much problems paying its short term obligations.
  • VRNS has a Quick ratio (1.97) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 1.97
Quick Ratio 1.97
VRNS Yearly Current Assets VS Current LiabilitesVRNS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. Growth

3.1 Past

  • VRNS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.00%.
  • The Earnings Per Share has been growing slightly by 1.92% on average over the past years.
  • VRNS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.17%.
  • VRNS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.33% yearly.
EPS 1Y (TTM)-40%
EPS 3Y1.92%
EPS 5YN/A
EPS Q2Q%-55.56%
Revenue 1Y (TTM)13.17%
Revenue growth 3Y9.6%
Revenue growth 5Y16.33%
Sales Q2Q%9.37%

3.2 Future

  • The Earnings Per Share is expected to grow by 59.82% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, VRNS will show a quite strong growth in Revenue. The Revenue will grow by 13.41% on average per year.
EPS Next Y92.95%
EPS Next 2Y81.3%
EPS Next 3Y105.88%
EPS Next 5Y59.82%
Revenue Next Year17.46%
Revenue Next 2Y17.48%
Revenue Next 3Y17.05%
Revenue Next 5Y13.41%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
VRNS Yearly Revenue VS EstimatesVRNS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 500M 1B 1.5B
VRNS Yearly EPS VS EstimatesVRNS Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 0 1 2 3

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Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 130.83 indicates a quite expensive valuation of VRNS.
  • Compared to the rest of the industry, the Price/Earnings ratio of VRNS is on the same level as its industry peers.
  • The average S&P500 Price/Earnings ratio is at 26.83. VRNS is valued rather expensively when compared to this.
  • A Price/Forward Earnings ratio of 67.81 indicates a quite expensive valuation of VRNS.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of VRNS is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 24.95, VRNS is valued quite expensively.
Industry RankSector Rank
PE 130.83
Fwd PE 67.81
VRNS Price Earnings VS Forward Price EarningsVRNS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • 72.83% of the companies in the same industry are more expensive than VRNS, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 20.97
EV/EBITDA N/A
VRNS Per share dataVRNS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 1 2 3 4 5

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • A more expensive valuation may be justified as VRNS's earnings are expected to grow with 105.88% in the coming years.
PEG (NY)1.41
PEG (5Y)N/A
EPS Next 2Y81.3%
EPS Next 3Y105.88%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • VRNS does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

VARONIS SYSTEMS INC

NASDAQ:VRNS (3/3/2026, 5:51:47 PM)

After market: 23.55 0 (0%)

23.55

+0.47 (+2.04%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-03
Earnings (Next)05-04
Inst Owners102.79%
Inst Owner Change-0.7%
Ins Owners2.31%
Ins Owner Change8.86%
Market Cap2.77B
Revenue(TTM)623.53M
Net Income(TTM)-129.32M
Analysts80
Price Target35.35 (50.11%)
Short Float %6.68%
Short Ratio2.29
Dividend
Industry RankSector Rank
Dividend Yield 0%
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)71.22%
Min EPS beat(2)0.9%
Max EPS beat(2)141.55%
EPS beat(4)4
Avg EPS beat(4)125.84%
Min EPS beat(4)0.9%
Max EPS beat(4)240.02%
EPS beat(8)8
Avg EPS beat(8)121.39%
EPS beat(12)11
Avg EPS beat(12)104.84%
EPS beat(16)14
Avg EPS beat(16)85.95%
Revenue beat(2)1
Avg Revenue beat(2)-1.9%
Min Revenue beat(2)-4.66%
Max Revenue beat(2)0.85%
Revenue beat(4)3
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-4.66%
Max Revenue beat(4)0.85%
Revenue beat(8)5
Avg Revenue beat(8)-0.67%
Revenue beat(12)5
Avg Revenue beat(12)-1.4%
Revenue beat(16)5
Avg Revenue beat(16)-1.48%
PT rev (1m)-31.24%
PT rev (3m)-33.74%
EPS NQ rev (1m)-224.31%
EPS NQ rev (3m)-227.88%
EPS NY rev (1m)1.49%
EPS NY rev (3m)-0.06%
Revenue NQ rev (1m)1.01%
Revenue NQ rev (3m)1.01%
Revenue NY rev (1m)1.2%
Revenue NY rev (3m)0.97%
Valuation
Industry RankSector Rank
PE 130.83
Fwd PE 67.81
P/S 4.44
P/FCF 20.97
P/OCF 18.76
P/B 4.62
P/tB 6.19
EV/EBITDA N/A
EPS(TTM)0.18
EY0.76%
EPS(NY)0.35
Fwd EY1.47%
FCF(TTM)1.12
FCFY4.77%
OCF(TTM)1.26
OCFY5.33%
SpS5.31
BVpS5.1
TBVpS3.8
PEG (NY)1.41
PEG (5Y)N/A
Graham Number4.54
Profitability
Industry RankSector Rank
ROA -7.22%
ROE -21.6%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 78.83%
FCFM 21.16%
ROA(3y)-7.37%
ROA(5y)-8.92%
ROE(3y)-21.08%
ROE(5y)-21.52%
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-2.58%
GM growth 5Y-1.46%
F-Score6
Asset Turnover0.35
Health
Industry RankSector Rank
Debt/Equity 0.76
Debt/FCF 3.43
Debt/EBITDA N/A
Cap/Depr 126.1%
Cap/Sales 2.49%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.97
Quick Ratio 1.97
Altman-Z 1.19
F-Score6
WACC10.18%
ROIC/WACCN/A
Cap/Depr(3y)76.61%
Cap/Depr(5y)83.95%
Cap/Sales(3y)1.58%
Cap/Sales(5y)1.96%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-40%
EPS 3Y1.92%
EPS 5YN/A
EPS Q2Q%-55.56%
EPS Next Y92.95%
EPS Next 2Y81.3%
EPS Next 3Y105.88%
EPS Next 5Y59.82%
Revenue 1Y (TTM)13.17%
Revenue growth 3Y9.6%
Revenue growth 5Y16.33%
Sales Q2Q%9.37%
Revenue Next Year17.46%
Revenue Next 2Y17.48%
Revenue Next 3Y17.05%
Revenue Next 5Y13.41%
EBIT growth 1Y-24.53%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year400.34%
EBIT Next 3Y155.26%
EBIT Next 5Y106.5%
FCF growth 1Y21.57%
FCF growth 3Y554.73%
FCF growth 5YN/A
OCF growth 1Y27.98%
OCF growth 3Y131.59%
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 3 / 10 to VRNS.


What is the valuation status for VRNS stock?

ChartMill assigns a valuation rating of 3 / 10 to VARONIS SYSTEMS INC (VRNS). This can be considered as Overvalued.


What is the profitability of VRNS stock?

VARONIS SYSTEMS INC (VRNS) has a profitability rating of 2 / 10.


Can you provide the PE and PB ratios for VRNS stock?

The Price/Earnings (PE) ratio for VARONIS SYSTEMS INC (VRNS) is 130.83 and the Price/Book (PB) ratio is 4.62.