Varonis Systems Inc (VRNS) Stock Analysis
Verdict: HOLD
SaaS transition tailwinds and massive earnings surprises suggest a fundamental bottom, though heavy insider selling remains a tactical drag.
Investment score: 62/100
Analysis as of
Is Varonis Systems Inc stock worth reviewing? AI model thesis
Varonis is successfully navigating its SaaS pivot, demonstrated by high-integrity FCF and massive earnings surprises. Despite GAAP losses, the high gross margins (78%) and lower-than-peer beta (0.85) provide a compelling risk/reward setup at $35.03.
7-factor investment score
- Valuation: 45/100 (weight 20%)
- Financial Health: 65/100 (weight 15%)
- Technical Momentum: 72/100 (weight 15%)
- Earnings Quality: 85/100 (weight 15%)
- Insider Sentiment: 30/100 (weight 10%)
- Analyst Consensus: 80/100 (weight 10%)
- Risk-Adjusted Return: 60/100 (weight 15%)
Varonis Systems Inc opportunities and risks
What speaks for VRNS
- SaaS Transition Acceleration
What speaks against VRNS
- Persistent Insider Disposals
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| VRNS | n/a | 6.2x | n/a | 78.1% | -19.7% | 2.9% |
| S | n/a | 4.9x | n/a | 74.0% | -30.4% | 0.9% |
| CVLT | 78.3x | 4.4x | 48.7x | 80.9% | 6.0% | 4.6% |
| DLB | 20.4x | 3.6x | 11.6x | 87.4% | 17.9% | 5.2% |
| GTLB | n/a | 4.5x | n/a | 86.7% | -2.5% | 5.8% |
| QLYS | 20.1x | 5.8x | 14.0x | 83.2% | 29.4% | 7.3% |
| Peer median | 20.1x | 4.5x | 11.6x | 83.2% | 6.0% | 5.2% |
Frequently asked questions about Varonis Systems Inc (VRNS)
Is VRNS stock a good investment?
The cached TradeMates AI model rates Varonis Systems Inc as HOLD with an investment score of 62/100. Varonis is successfully navigating its SaaS pivot, demonstrated by high-integrity FCF and massive earnings surprises. Despite GAAP losses, the high gross margins (78%) and lower-than-peer beta (0.85) provide a compelling risk/reward setup at $35.03. This is algorithmic model output, not personal investment advice.
Is VRNS stock a buy?
The TradeMates model verdict for VRNS is HOLD with an investment score of 62/100. Treat this as a model signal to review, not a personal buy recommendation.