Varonis Systems (VRNS) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Varonis Systems

NasdaqGS•Technology•Software - Infrastructure

$46.76-0.71(-0.01%)Pre-market

Market Cap

$5.46B

P/S

7.9x

P/B

12.3x

Varonis Systems, Inc. provides software products and services that continuously discover and classify critical data, remediate exposures, and detect advanced threats with AI-powered technology in North America, Europe, APAC, and rest of worlds. The company offers Varonis Data Security Platform, a Software-as-a-Service solution which includes Data security posture management, Data access intelligence, Data discovery & classification, Discovery policy library, least privilege automation, Data activity monitoring, Data detection and response, and User & entity behavior analytics. It also provides Protection Packages, such as Microsoft 365, Windows & NAS, Hybrid, and Cloud Environments, as well as Database and Email Security Capabilities and On-Premises Subscription Products. It serves the financial services, public, healthcare, industrial, insurance, energy and utilities, technology, construction and engineering, education, and consumer and retail industries. Varonis Systems, Inc. was incorporated in 2004 and is headquartered in Miami, Florida.

How this company scores

AverageMetricSide Score: 51/100

Strongest: Growth (17/25); weakest: Profitability (9/25).

Profitability9/25

Growth17/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality10/25

Strengths

Growing revenueConsistent free cash flowImproving leverageConsistent growth

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/S · 7.9x5y range 3.7x – 18.3x

Currently near its 20-quarter median.

P/B · 12.3x5y range 5.2x – 16.7x

Currently above its 20-quarter median.

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Red Flag

FCF consistently trails net income (avg -1.1x) — earnings may be inflated by non-cash items or aggressive accounting.

Price & Volume

Market Cap $5.46B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $688.10M
Q. Revenue: $180.02M
TTM EBITDA: $-132.45M
TTM Op. Income: $-151.31M
Q. Op. Income: $-40.63M
TTM Net Income: $-141.38M
Q. Net Income: $-46.81M
EPS: $-0.41
Shares Out.: $114.82M

$688.10M in TTM revenue grew 15.6% YoY, reaching $180.02M last quarter. TTM EBITDA of $-132.45M and TTM operating income of $-151.31M show growth is flowing through to the bottom line. However, net income is negative at $141.38M — growth is not yet reaching the bottom line. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 75.3%
EBITDA Margin: -18.6%
Op. Margin: -22.6%
Net Margin: -26.0%

Op. margin of -22.6% is up 1.5% YoY — cost efficiency is improving. Net margin at -26.0% and gross margin of 75.3% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 6% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: N/A
P/S Ratio: 7.9x
P/B Ratio: 12.3x

P/S of 7.9x and P/B of 12.3x.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $1.65B
Cash: $233.64M
Long-Term Debt: $453.28M
Book Value: $444.49M
D/E Ratio: 1.0
Debt/EBITDA: N/A

With $1.65B in assets and $453.28M in long-term debt, D/E is 1.0and book value is $444.49M — moderate leverage. Across the last 8 quarters, debt/equity has risen for 3 consecutive quarters — a weakening trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $25.08M
TTM Free Cash Flow: $121.94M
FCF Margin: 17.7%
FCF / Net Income: -0.9

TTM FCF of $121.94M on $25.08M in operating cash flow. The FCF / Net Income ratio of -0.9x means the business consumes cash — it is not yet self-funding. Over the past year, free cash flow is down 2% — an improving trend.