The Analyst Verdict: Varonis Systems In The Eyes Of 4 Experts
In the latest quarter, 4 analysts provided ratings for Varonis Systems (NASDAQ:VRNS), showcasing a mix of bullish and bearish perspectives.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 3 | 1 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 1 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 1 | 1 | 0 | 0 |
Analysts have set 12-month price targets for Varonis Systems, revealing an average target of $54.25, a high estimate of $58.00, and a low estimate of $50.00. Witnessing a positive shift, the current average has risen by 4.83% from the previous average price target of $51.75.
Deciphering Analyst Ratings: An In-Depth Analysis
In examining recent analyst actions, we gain insights into how financial experts perceive Varonis Systems. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Saket Kalia | Barclays | Raises | Overweight | $55.00 | $53.00 |
| Brian Essex | JP Morgan | Raises | Overweight | $54.00 | $50.00 |
| Matthew Hedberg | RBC Capital | Raises | Outperform | $58.00 | $56.00 |
| Shrenik Kothari | Baird | Raises | Neutral | $50.00 | $48.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Varonis Systems. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Varonis Systems compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Varonis Systems's stock. This examination reveals shifts in analysts' expectations over time.
Capture valuable insights into Varonis Systems's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.
Stay up to date on Varonis Systems analyst ratings.
Unveiling the Story Behind Varonis Systems
Varonis Systems is a cybersecurity vendor focused on data privacy and security. The firm is currently undergoing a cloud transition as it weans its on-premises customers over to its cloud products that are delivered as software-as-a-service. The New York-based firm was founded in 2004 and went public in 2014.
Varonis Systems: A Financial Overview
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Revenue Growth: Over the 3 months period, Varonis Systems showcased positive performance, achieving a revenue growth rate of 6.23% as of 31 March, 2024. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: Varonis Systems's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of -35.51%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Varonis Systems's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -8.6%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Varonis Systems's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -3.75%, the company may face hurdles in achieving optimal financial returns.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.66.
How Are Analyst Ratings Determined?
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
This article was generated by Benzinga's automated content engine and reviewed by an editor.